The world of energy drinks just got a whole lot more interesting, as billionaire founder of Rockstar Energy, Russ Savage, sets his sights on taking over Celsius Holdings, according to CNBC.
The Stake
Savage now controls over 12 million shares of Celsius, equivalent to a 4.7% stake in the company, worth around $300 million at current stock levels. This move comes after Celsius’ recent earnings miss, which saw the company’s shares plunge 18%.
The billionaire has been quietly advising Celsius on its cost structure and marketing strategy for over a year, but now believes new leadership is needed to drive growth.
The Demands
Savage is calling for a major overhaul of the company’s top management, including the CEO, COO, brand manager, and marketing manager. He believes this is necessary to get the company back on track and improve its financial performance.
- CEO and COO to be replaced
- Brand manager and marketing manager to be fired
- New leadership to drive growth and improve financials
The Response
Celsius has responded to Savage’s demands, stating that it welcomes ideas from all shareholders and remains focused on executing its total energy portfolio strategy. However, with Savage’s significant stake in the company, it’s likely that his demands will not be ignored.
As the battle for control of Celsius heats up, it will be interesting to see how the company’s management responds to Savage’s calls for change. One thing is certain, the energy drink market just got a lot more exciting.
Photo by Rafael Minguet Delgado on Pexels
