BOF News & Events

BranchOut Food announced that the nation's second-largest warehouse club has confirmed everyday placement of the Company's Crunchy Fruit Chips following a highly successful May rotation. The product will transition to everyday status in 309 clubs starting in September, representing approximately $8M in expected incremental annual revenue for BranchOut. Throughout the May rotation, the product consistently performed at the highest end of the retailer's velocity thresholds, demonstrating strong member demand for differentiated Crunchy Fruit Chips made possible by BranchOut's proprietary GentleDry technology. The retailer is also evaluating a second item, a Tropical Mix multipack featuring mango, pineapple, and banana, for rotational testing early next year. If successful, the launch would further expand BranchOut's presence with one of the nation's largest retailers while validating the Company's ability to repeatedly develop innovative products enabled by its proprietary GentleDry technology. Management expects the incremental revenue and consistent production volume from this program to enable BranchOut to achieve positive operating cash flow. Combined with the Company's growing pipeline of new products and customers, management believes this marks an important inflection point as BranchOut transitions from investing in its manufacturing platform to leveraging it for sustained profitable growth. In connection with the production ramp-up for the new everyday program, BranchOut has entered into a $1.0M non-convertible working capital loan with Kaufman Kapital. The loan bears interest at 8% per annum and contains no conversion feature, warrant coverage, equity-linked consideration, or registration rights. Proceeds are expected to be used primarily to fund raw material purchases and support increased production volumes associated with the new program. The loan is separate from, and does not amend or modify, the Company's existing convertible note with Kaufman Kapital.

BranchOut Food announced the launch of five branded products in a leading U.S. mass retailer beginning in September, a major new customer for the company. The launch represents one of the largest branded retail wins in the company's history and includes two of BranchOut's top-performing fruit snack products, Crunchy Pineapple Chips and Crunchy Mango Chips, alongside three innovative new products that combine BranchOut's fruit and vegetable expertise with its recently launched cheese platform. The initial launch is expected to occur in a subset of the retailer's approximately 2,000 locations beginning in September, with final store counts and revenue expectations still being determined. While management is not yet providing specific revenue guidance for the program, the launch represents a significant milestone for the BranchOut brand.

BranchOut Food announced a partnership with Zesty Snackz and its founders, digital creators Brenten Szekely and Paul Cuffaro, to launch a new line of single-ingredient Fruit Chips under the Zest Snackz label. The collaboration brings together BranchOut's proprietary GentleDry dehydration technology with Zesty Snackz's fast-growing snack platform and the expansive digital reach of two of YouTube's most recognizable lifestyle creators. Collectively, Brenten and Paul reach millions of viewers across YouTube, Instagram, TikTok and other social platforms, where they have built highly engaged communities through authentic, family-friendly content centered on lifestyle, adventure, aquatics, and entrepreneurship. The new Zesty Snacks Fruit Chips line, powered by BranchOut's GentleDry technology, is set to launch with products made from 100% real fruit. These single-ingredient fruit chips boast vibrant flavor, texture, and nutrients while offering shelf-stable convenience, free from added sugar, preservatives, or artificial ingredients. BranchOut plans to ship the first full container of the product to Zesty Snacks in April, with follow-on container-sized orders expected thereafter.

BranchOut Food announced the pricing of a $2.5M institutional investment consisting of 1,034,600 shares of common stock to be purchased by Bard Associates, Inc. The financing will strengthen BranchOut's working capital reserves and marks an important milestone in the company's growth. This investment is opportunistic for BranchOut, providing the company with the ability to bolster its balance sheet and fund key growth initiatives. Alexander Capital L.P. is acting as sole bookrunner for the offering. "This financing is a powerful validation of our momentum and mission," said Eric Healy, CEO of BranchOut Food. "October was the best month in our company's history, with record revenue of $1.7M, equivalent to a $20 million annualized run rate. With this capital, we will be well positioned to scale production and execution across our rapidly growing retail and ingredient channels."