Generous Brands to expand functional drink portfolio with Health-Ade Kombucha acquisition
US-based Generous Brand has signed a definitive agreement to acquire Health-Ade, a fast-growing kombucha brand. Generous Brands says the acquisition will position the company for the future as consumers continue to prioritize a healthy lifestyle. After closing the deal, the company’s premium refrigerated beverages portfolio will have nearly US$1 billion in retail sales.
Health-Ade is owned by private equity firms First Bev and Manna Tree Partners, who will continue as minority stakeholders in Generous Brands after the acquisition.
Health-Ade has benefited from a growing consumer interest in gut health products. The company’s kombuchas include probiotics and immune-boosting antioxidants.
“Consumers have entirely redefined the role of beverages, and it’s reshaping the future. They have shifted from just prioritizing taste and exciting flavors to looking for beverages enhanced with healthier ingredients and nutritional benefits,” says Steve Cornell, CEO of Generous Brands.
“With its purpose-led brand and products positioned at the intersection of delicious taste and modern health trends, Health-Ade fits perfectly into our platform and growth strategy. This addition to the Generous Brands portfolio will accelerate our mission of inspiring more people to thrive through the power of vibrant nutrition.”
The transaction is subject to customary closing conditions and is expected to close in the third quarter of 2025. Terms of the transaction were not disclosed.
Top-selling functional beverage brand
Over the last five years, the kombucha segment has experienced consistent growth. Research links the beverage to blood glucose management and gut health benefits. Generous Brands expects Health-Ade to continue growing in this category.
Health-Ade was founded in 2012 and sold its kombucha at local farmers markets. Now, its retail sales are close to US$250 million annually, and its products are sold at 65,000 outlets across the country.
Generous Brands aims to scale Health-Ade’s products further, focusing on “faster and more transformative” innovation, broader availability, and making additional investments for retailer category growth.
The kombucha company’s retail sales are close to US$250 million annually, and its products are sold at 65,000 outlets (Image credit: Health-Ade).“This announcement marks a natural evolution in Health-Ade’s journey and an exciting milestone for the premium refrigerated beverage category,” says Chris Lansing, CEO at Health-Ade. “Health-Ade and Generous Brands are aligned in their commitment to delivering exceptional taste while prioritizing clean, nutritious ingredients.”
“We are excited and confident that Generous Brands is the right platform to unlock Health-Ade’s full potential and introduce even more people to the power of gut-healthy beverages. We are grateful to our founders who helped pioneer this category and to First Bev and Manna Tree for their support and partnership to help us grow to where we are today.”
With Health-Ade’s previous owners, First Bev and Manna Tree Partners, the company focused on expanding distribution and profitability through operational excellence, innovation, and brand building.
Boosting portfolio
Generous Brands was established in 2024 when Butterfly separated from Bolthouse Farms, resulting in Bolthouse Fresh Foods — a leading supplier of fresh carrots — and Generous Brands.
The premium refrigerated beverage platform offers Bolthouse Farms, Evolution Fresh, and Sambazon brands. After the acquisition, its products will span the juice, smoothie, kombucha, cold-pressed, protein, coffee, and alternative soda categories.
“We are big believers in the growth of fresh, functional beverages and Generous Brands’ focus on delivering vibrant nutrition to consumers,” says Adam Waglay, co-founder and co-CEO of Butterfly. “Acquiring strong, ‘gutsy’ brands is a key pillar of that vision, and the addition of Health-Ade to the Generous Brands platform demonstrates that strategy in action.”
