NuVim® To Take Stake In Operating Beverage Company And Provide Operating Support
Lewes, DE - (Marketwire) - NuVim, Inc. (PINKSHEETS: NUVM), a leading provider of nutritional refrigerated, ready-to-drink beverages and powder mixes, announced today that it has signed a Letter of Intent ("LOI") to take a stake in GRAN NEVADA, Inc. and conduct their beverage operations through 2014. As the operating entity, NuVim will make the sales of current and future GRAN NEVADA products and share a percentage of the profit contribution from the sales with GRAN NEVADA. Revenues for sales of GRAN NEVADA ready to drink beverages, including their flagship product, Horchata, a rice and milk based beverage product targeted at the Hispanic market, is estimated to reach $1,000,000 during the next 12 months. NuVim will supervise the manufacture of GRAN NEVADA products with quality control supervision provided by GRAN NEVADA.
Consummation of the transaction depends on NuVim raising $100,000 in funding to help support the GRAN NEVADA business going forward. Upon consummation, NuVim will issue 3.5 million restricted common shares for its stake in GRAN NEVADA and assume operating control of Gran Nevada beverage business. GRAN NEVADA and NuVim will take advantage of their diverse strengths in sales and distribution to increase revenues of both brands. Current GRAN NEVADA distribution of its beverage products is centered on the East Coast, in an estimated 1,000 independent retail stores commonly referred to as bodegas and other ethnic supermarkets, with a heavy concentration in the Mid-Atlantic and Northeast.
GRAN NEVADA President Fernando Oswaldo Leonzo said, "I am pleased to team up with NuVim's management and their resource team to assist GRAN NEVADA in building our family business. Rick Kundrat and I have been discussing a business relationship between the two companies for a couple of years. After independently restructuring both companies we have been able to put this together to our mutual benefit."
About NuVim:
NuVim® is a one-of-a-kind beverage that is sold in the refrigerated juice section in half gallon juice cartons. NuVim is formulated with NutraFlora prebiotic fiber to help maintain a strong immune system, enhance vitamin and mineral absorption especially calcium, and aid in digestive consistency. NuVim® also contains whey protein to help promote muscle and joint health, and improve athletic performance. NuVim® has 45 calories per serving, no high fructose corn syrup, no lactose, no cholesterol, no fat, no artificial flavors and no caffeine. The NuVim powder mixes are sold solely through the internet. The new Wellness/Weight Control product line is planned to be introduced in the 4th quarter.
About GRAN NEVADA:
GRAN NEVADA is one of the few companies to offer the only all natural, not from concentrate, preservative-free brand of Aguas Frescas (Mexican Horchata, Horchata de Morro, Tamarind, Hibiscus, Guava, Passion Fruit, Guanabana [Soursop], and Mango) available in the United States today. The GRAN NEVADA brand offers Ready-to Drink all natural drinks that are popular among the fasted growing segment of the U.S. population -- the Hispanic Market. According to The Houston Chronicle on Oct. 23, 2008(1), Hispanics account for more than half of the total population growth in the United States and GRAN NEVADA is positioned to capture significant market share with its line of high quality products.
To learn more about NuVim® visit www.nuvim.com or call toll free 877-850-8777
To learn more about Gran Nevada® visit www.grannevadabeverage.com or call 877-586-7911
(1) http://www.chron.com/disp/story.mpl/front/6075560.html
SOURCE: NuVim, Inc.