If you haven’t heard of the Yuenglings’s Ice Cream, then I would like to introduce you to this company named: Aureus Inc., They have acquired this Ice Cream company and this will be the first stepping stone for many following acquisitions on their agenda!
PSN: How would you introduce Aureus to the public who are recently aware of your company?
A: Aureus is a public company who’s focus is the acquisition and growth of private businesses in the food industry.
PSN: What has been the intrinsic motivation for you to start and own a company like Aureus?
A: I purchased Aureus specifically to acquire Yuenglings’ Ice Cream, as starting point for further acquisitions in that space.
PSN: What’s the business strategy of Aureus to succeed in the enormous food brand industry?
A: Build a diversified conglomerate of food related companies.
PSN: What are your expectations of the food brand industry in short- and long-term?
A: We believe that some sectors will see consolidation rather than organic growth. We further see opportunities to develop brands that are in the health and wellness food space.
PSN: Where does Aureus see potential in the food brand industry? And how will you react to this?
A: As stated above, we believe there is an overall trend toward healthier eating. We intend to develop some portion of our portfolio of companies in unison to that trend.
PSN: What consequences has Aureus experienced since the outbreak of COVID-19?
A: Some of the acquisitions that were targeted had to be put on hold. In addition, the process out becoming fully reporting has slowed down.
PSN: If you look at the share, you will see a significant drop in February 2020. How do you look back at the last few months (when the share was rising again)?
A: We don’t have clear view on this since there wasn’t a logical reason for the drop. We have to keep focused on executing on the business plan, this will ultimately drive value to the shareholders.
PSN: Aureus is actively seeking financing of $5-$6 million in equity for the expansion plans of the Yuengling brand.What can be said about the current state of affairs? How is it going?
A: That figure includes two acquisitions, in addition to the expansion of Yuenglings. COVID slowed that progress given the uncertainty in the capital markets and that our corporate actions need to be complete
PSN: What was the motivation to get an agreement with Waterside Capital Advisors Inc. and to sign Hanover International, Inc.?
A: These are our primary investment bankers. They are tasked with raising the capital mentioned above.
PSN: The website reads: “Our shareholders will benefit from being part of the world’s most popular activity”. How would you like to substantiate this (perhaps by using a practical example)?
A: That is a bit of humor…..eating….
Because Aureus is the owner of Yuengling’s Ice Cream, we also asked several questions about the corporation.
PSN: In 1985 the Yuengling family stopped the production of the ice cream and closed the plant. What was the motivation in 2014 – almost 30 years later – to re-introduce Yuengling’s Ice Cream?
A: It was a combination of a number of factors. First, it was the idea of re-launching a classic brand. But, more importantly, it was a brand that was still well known thanks to the many people who loved the ice cream when they were younger and, more recently, due to the success of the beer. Finally, David Yuengling and Rob Bohorad love ice cream, so there was a real passion behind the company.
PSN: To not let the history repeat itself, what has improved in the methodology since the re-establishment of Yuengling’s Ice Cream?
A: I am not sure what you mean by history repeating itself. The only reason Yuengling’s Ice Cream stopped production in 1985 was because Fritz Yuengling wanted to retire and everyone in the family already had other careers.
PSN: Aureus is currently focusing on acquiring specialized assets that are related to the food industry (particularly ice cream). What is your motivation and what do you want to achieve?
A: I think there are three main things. First, we want to find the right product or concept. Second, if possible, like with Yuengling’s, acquire a good brand. And, finally, make sure we have the right management to lead these assets.
PSN: The Yuengling family started a brewery and later decided to produce ice cream. If so, what opportunities do you see for this corporation besides ice cream?
A: Just to clarify, the brewery started the ice cream company during Prohibition (1920) and it was spun off into a separate company after Prohibition was repealed (1935). As a separate company, Yuengling’s Ice Cream can essentially market anything that is not alcohol or beer related. So, there are a number of opportunities that will be considered in the future.
PSN: How would you describe the market potential and target group that Yuengling’s Ice Cream focuses on?
A: Yuengling’s is a super-premium ice cream that comparable to a Haagen Dazs and Ben & Jerry’s. With 14% butterfat, 50% overrun (air) and natural ingredients, the company targets individuals who are looking for and appreciate a high quality ice cream. Any additional products will most likely target the same socio-economic, demographic, and taste profile.
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