Cheers looks to raise US$5M in online public offering for post-drinking well-being
18 May 2021 --- US-based alcohol health brand Cheers, whose flagship product – Cheers Restore – is designed to alleviate hangover symptoms, is launching its first online public offering (OPO) in a bid to raise US$5 million to support the growth of its product lines.
Barring any delays, the OPO will go live today on the crowdfunding platform StartEngine. The company says it has received substantial interest before the launch and can now offer brand loyalists a chance to invest.
Cheers has generated over US$25 million in sales since its 2017 launch and were featured on the televised US business competition Shark Tank.
Brooks Powell, CEO and founder of Cheers, says the company’s mission is to “bring people together by promoting fun, responsible and health-conscious alcohol consumption.”
“We look forward to continuing the disruption of the US$250 billion alcohol industry, hand-in-hand with a large contingent of earnest and eager investors.”
Using dihydromyricetin against hangovers
The key ingredient in Cheers Restore is dihydromyricetin (DHM), a potent flavonoid extracted from Vine Tea (Ampelopsis grossedentata), which has been shown to help accelerate the body’s ability to break down acetaldehyde, a toxic by-product of alcohol metabolization.
Having been used for thousands of years in traditional East Asian medicine, modern studies have revealed its efficacy as a remedy for alcohol consumption. Powell says he spent years working with neuroscientists and biotechnology researchers to understand the function DHM plays on alcohol consumption.
The new Cheers Restore beverage contains a permeabilizer that boosts the breakdown of alcohol toxins faster than any other market product, the company says.In 2012, research published in the Journal of Neuroscience found that when given DHM, rats showed significantly reduced signs of hangovers. The DHM affected their GABAa receptors, the same receptors that alcohol binds to in the human brain.
Patent-pending technology
Cheers uses a patent-pending accelerated DHM absorption permeabilizer technology (ADAPT) in its products, which the company co-invented with and exclusively licenses from an Ivy League university. It claims the technology could increase the bioavailability of DHM by 19 times.
Powell says this makes it uniquely positioned to differentiate itself from other DHM-based products in the market.
“Cheers’ mission to promote health-conscious alcohol consumption is working.”
“More than 300,000 customers have already purchased our effective products repeatedly and are experiencing substantial returns on their health and wellness. Now, we are opening up an investment opportunity, allowing our customers to experience the potential benefits in our rapid growth.”
Cheers Restore contains 1200 mg of DHM per serving in its pill form, which the company says is more than any other product on the market.
A recently released beverage edition of the product also hit the market, offering consumers with pill fatigue an easier delivery format that can be used as a mixer with alcoholic drinks.
Fighting hangovers
Cheers’ OPO comes on the heels of a host of hangover remedy NPD in recent years. In 2019, Californian company Nilo Brands launched vegan remedy Nilo Hangover Recovery, containing DHM derived from Hovenia Dulcis. It also contains milk thistle and chicory root to protect the liver.
Last year, Zbiotics, a US genetic engineering company focused on consumer health, launched what it called the first genetically engineered probiotic on the market. Similar to Cheers Restore, Zbiotics’ patented probiotic strain B. subtilis ZB183 helps break down acetaldehyde in the liver.
Edited
By Louis Gore-Langton
