Vending

Monster Beverage seeks to buy Bang Energy out of bankruptcy for $362M

Image: Adobe Stock.

June 30, 2023

Monster Beverage Corp. has offered to acquire Bang Energy out of bankruptcy for $362 million, a bid that could be thwarted by regulatory review, according to a Bloomberg News report.

Vital Pharmaceuticals Inc., which makes Bang Energy, said its lenders support the sale to Monster Beverage Group and considers it the only way to repay its creditors.

The Federal Trade Commission said it requires more information.

If the deal fails to gain approval by the end of the week, the company could be forced to liquidate, a move that could result in the loss of about 700 jobs, according to Bang. The companies are urging the FTC to grant early termination of the review.

The court must also approve a settlement of Monster Beverage's lawsuit against Bang that alleges false advertising.

Vital Pharmaceuticals filed for bankruptcy in October after a California court awarded Monster Beverage $293 million against Bang and its former CEO Jack Owoc.