An almost billion-dollar supplement brand portfolio (you’ve likely never heard of before) just turned CBUM into a corporate sellout. So, let’s talk about it! And even if this deal announcement was released publicly on April 1st…I guarantee there’s nothing foolish about this M&A activity. But before I give you the legitimate “insider” deep dive insights I can guarantee won’t be found anywhere else on the internet…it would be prudent of me to start by covering key press release details from the RAW Nutrition, BUM Energy, and The Quality Group M&A news. And since the bulk of my audience is based within the United States…maybe beginning with the “buy side” would be ideal. The Quality Group was formed in December 2020 with the business combination of the sports nutrition brand ESN and nutritional products brand More Nutrition. ESN was founded in 2004…and is now the sports nutrition categorical leaders within the German market. And then More Nutrition was founded 13 years after ESN but has leveraged a strong social media presence and influencer marketing…landing the nutritional products brand within the top 3 German market categorical leaders. The Quality Group is headquartered north of Hamburg (Germany) and employs more than 1200 people…mostly due to it currently producing more than half its massive product range in house. And while 2024 full-year financial results weren’t released yet, The Quality Group reported revenue of around 680 million Euros (or about $750 million dollars) in 2023. Furthermore, the fourth largest global private equity firm, CVC Capital Partners, acquired a majority stake in The Quality Group about three years ago…valuing the business at 800 million Euros (or about $880 million dollars). So, as you can assume from that mid-2022 business valuation to the beforementioned revenue amount reported 18 months later…the two founders staying operationally active, CVC Capital Partners injection of liquidity, and experienced management team CVC brought on have grown the business substantially (and quickly). But maybe it was that last point, surrounding the desire to find a strategic growth partner and them allowing founders to stay operationally active, that ultimately led to this specific M&A transaction. So, effective immediately…RAW Nutrition’s Co-Founder and CEO, Domenic Iacovone, and six-time Classic Physique Mr. Olympia Champion and RAW Nutrition co-owner Chris Bumstead will both become co-owners of The Quality Group. Moreover, RAW Nutrition and The Quality Group will remain independent partners as they seek to build long-term value for their consumers. Founded in 2019, Raw Nutrition had moderate success initially but has exploded since Chris Bumstead came onboard as a co-owner in September 2021. Over the last few years, Raw Nutrition has been recognized as the “Brand of the Year” by both GNC and The Vitamin Shoppe. Additionally, RAW Nutrition was recognized in 2024 as not only the fastest-growing sports nutrition brand (but fastest-growing CPG company overall) by Inc. Magazine. And I alluded to this earlier, but BUM Energy, an upstart energy drink brand created by Chris Bumstead in July 2023…was also included within The Quality Group acquisition. And the final portion of my latest principles thinking content will analyze the future outlook and possible implications surrounding the various stakeholders involved...including the RAW Nutrition, BUM Energy, The Quality Group, CVC Capital Partners, and the supplement industry.