Charlotte-based venture capital firm Silver Falcon Capital has made an investment in a beverage company based in Richmond, Virginia.
Silver Falcon announced Tuesday that it is investing in Navy Hill, a line of premium, "better-for-you" cocktail mixers with electrolytes. They are a blend of club soda and tonic the company calls "sonic."
Austin Tate, Silver Falcon co-founder and partner, told Charlotte Inno the firm began discussions with Navy Hill co-founders Katie Williams and Jenny Lucas about three months ago and quickly realized the product had staying power.
"A lot of brands in this space may have good branding and marketing, but if the product itself isn't good, we don't believe people will come back to the shelf for more," he said. "[Lucas and Williams] are incredible young women who have built a great brand and product from scratch."
Lucas and Williams said in a news release that they saw need and opportunity to create a low-calorie, low-sugar mixer for healthier cocktails. The small-batch mixers are half soda, half tonic and are sold online as well as in some Whole Foods, Publix, King Supers, Fresh Marker, Harris Teeter and regional liquor stores.
Silver Falcon Capital was co-founded in 2019 by Tate and Brian France, former NASCAR chairman and CEO. Tate said the firm provides investments between $5 million and $50 million and focuses on brands predominantly in the Southeast within the food and beverage, health and wellness, and sports and entertainment industries.
Tate declined to disclose the amount of the financial investment, but he said the firm is taking an active role in fueling Navy Hill's growth through continued investments in marketing, innovation and assistance in building out the company's team.
"The interesting thing is that most small equity groups are really focused on the capital side," he said. "We like to think of capital as a commodity and focus on the tangible areas outside of that — digital strategy, brand-building, the nitty-gritty nuts and bolts of operations. We're involved as much as we can be to help the entrepreneurs."
Williams said the investment and partnership will give the company runway to expand its team, increase marketing efforts and sales and create new products.
"Navy Hill is excited to have Silver Falcon Capital on board as a partner and resource to help propel us toward our next stage of growth," Williams said. "The Silver Falcon team brings valuable experience and strategic relationships that will be key to this phase."