All change at ChampionLyte
ChampionLyte Products, maker of the ChampionLyte sugar-free sports
drink, currently undergoing a major restructuring program.
An investment group has acquired a controlling interest in ChampionLyte Products, maker of the ChampionLyte sugar-free sports drink.
The group, which was not named by the company, purchased all of the convertible preferred stock from US Bancorp, giving it a 43 per cent stake in ChampionLyte.
The move is part of a major restructuring program, which has seen former chairman and CEO Alan Posner and chief financial officer and director Chris Valleau both resign. Former president Mark Streisfield will remain with the company as vice president of sales and board member.
"We believe there is potential to capture both retail and institutional sales at various levels," said Florida investor Marshall Kanner, currently acting as interim chief operating officer.
"But first, we need to completely restructure the company specifically to acquire operational, sales, manufacturing and distribution efficiencies."
Kanner said his group has already cut overheads by at least 60 per cent and is currently negotiating with the company's various creditors.
He added that the group would bring industry professionals on board on an 'as-needed basis' to streamline different business areas. "Our goal is to accelerate sales efforts to a variety of outlets, both retail and institutional, that have the capacity to put the company in a cash-flow positive situation as quickly and cost efficiently as possible."
The company's key product has recently been reformulated with the sweetener Splenda, (the sucralose brand produced by McNeil Nutritionals). The new drink is said to replace electrolytes, especially after exercise, without the sugar which would cause weight gain. The drink comes in lemon-lime, orange, grape, fruit punch, pink lemonade and blue raspberry flavours and is available in mass-market retailers.
