Monster Beverage agreed to acquire bankrupt beverage maker Bang Energy in a deal that would bring the beleaguered brand under control of one of the industry’s largest players, The Wall Street Journal reported. Monster said in a bankruptcy court filing that it agreed to purchase Bang’s assets from bankruptcy proceedings for $362 million. The deal is subject to approval by bankruptcy court. Vital Pharmaceuticals, the owner of Bang, filed for chapter 11 protections in October after a jury ordered the company to pay Monster a $293 million settlement. Monster sued its smaller competitor in 2018, claiming that Bang had misled consumers and overstated the health benefits of its drink. Pending approvals from bankruptcy court and regulators, Monster will acquire Bang’s assets and its production facility in Phoenix. Bang filed for bankruptcy last year after facing mounting costs from litigation. In addition to the suit from Monster, the company also said in its October filing that it agreed to a $115 million settlement with PepsiCo after a distribution deal between the two ended. Legal battles have continued in the company. In March, the company sued its ousted chief executive, Jack Owoc, for allegedly refusing to return control of Bang’s social-media accounts on Twitter, Instagram and TikTok. Monster, a large player in the energy drink industry, has faced increased competition and an inflation-pinched consumer in recent years. The company raised its prices as it faced falling profits and increased costs.
