Just Chill? Distell could be in the mix for Long4Life brands
Chill’s Fitch & Leedes range of mixers would certainly slot nicely into Distell’s ready-to-drink business
The resignation of Grant Hobbs as CEO of Chill Beverages this week suggests that Brian Joffe’s investment company Long4Life (https://www.sharenet.co.za/v3/quickshare.php?scode=L4L) is determined to put some fizz into the returns of what has turned out to be a disappointing foray.
On paper, Chill has some compelling bands across mixers (the Fitch & Leedes ranges), energy drinks (Score and MiWater), niche softdrinks (Bashews), and mineral water.
The problem, though, is that competition in these beverage categories is intense – and likely to intensify if consumer spending starts to dry up. Compounding the problem is that Chill is up against formidable rivals – which, arguably, would have a lot more firepower if price war hostilities broke out...