The ready-to-drink (RTD) coffee brand will use the investment to facilitate its expansion to the US and grow its direct-to-consumer channel
Solo Coffee’s RTD espresso concentrate is used by more than 2,000 UK hospitality businesses, primarily for espresso martinis | Photo credit: Kike Salazar N
UK-based ready-to-drink (RTD) coffee brand Solo Coffee has sold a minority stake in its business to beverage investment specialist Kliro Capital Partners.
Founded in London in 2018, Solo Coffee’s RTD espresso concentrate is distributed to more than 2,000 hospitality businesses across the UK, primarily as the base ingredient for espresso martini cocktails.
The product is used by some of the UK’s largest hospitality groups, including Mitchell’s and Butler’s, which owns All Bar One, O’Neills, Miller and Carter, Browns and Vintage Inns, as well as Birmingham-based pub group Stonegate, which counts Slug and Lettuce, Yates and Be At One among its portfolio.
Kliro Capital Partners said its investment, the sum of which remains undisclosed, will support Solo Coffee’s expansion to the US. Solo Coffee has already begun production in the US, according to its website, and is in the process of finalising agreements with distributors and hospitality businesses.
The London-based RTD brand is also planning to expand its direct-to-consumer channel, which currently includes distribution via online retailers Amazon and Ocado.
“We are extremely excited to have Kliro Capital Partners joining the Solo Coffee team. With years of relevant experience, we felt that we had found the optimal fit. Finding an investor has been difficult for us as we believe a partner should ideally be able to support in multiple ways, not just financial. Fortunately, Kliro Capital Partners are able to offer value in many different areas,” said Theo Garcia, Co-Founder, Solo Coffee.
Solo Coffee achieved 160% sales growth to reach £1.17m ($1.4m) in its last financial year ended 30 April 2023. Additionally, the business made its first profit in March 2023 and expects to turn a full-year profit in April 2024.
Alongside angel investment, Solo Coffee is also in the middle of a crowdfunding round, which currently sits at more than £440,000 ($542,000).
Kliro Capital Partners was founded in 2022 by former Quintessential Brands Group CEO Warren Scott who has 12 years’ experience investing in international beverage brands. In July 2023, Kliro Capital Partners acquired alcoholic beverage group Intercontinental Brands Limited, which owns Cactus Jack, Veroni Amaretto and Apertini, for an undisclosed sum.