Zeffer cider smashes $1.2 million capital target in five day
Media announcement Monday, 6th March 2017
Zeffer cider smashes $1.2 million capital target in five days
The largest independent, dedicated cider producer in New Zealand, Zeffer cider, has achieved its $1.2 million public capital offer less than a week after launching via the Snowball Effect platform.
The offer went live to the public on Wednesday 1st March, with a sneak preview for private investors on Tuesday 28th February.
Within 48 hours, the premium cider brand had already reached its $700,000 minimum target and by Sunday, 5th of March, it had clocked its $1.2 million maximum target with a total of 260 investors, with still 26 days to go.
The money raised will help Zeffer launch its Asian export strategy (especially in China and Thailand) and further increase its domestic resources to drive growth.
Josh Townsend, Sales and Marketing Director at Zeffer, was thrilled by the response, “We have been truly overwhelmed with the support we have received, particularly achieving our maximum target in such a short timeframe. We welcome all our new shareholders to the Zeffer family and are really excited about creating New Zealand’s next FMCG success story.”
Simeon Burnett, CEO and co-founder of Snowball Effect, says Zeffer’s offer was one of the fastest to reach its target on its online marketplace platform.
“We saw a major groundswell of small investors getting involved, with over 200 people investing at the $10,000 or less mark, contributing $670,000 of the total. Larger investors (those that invested over $10,000) also played a significant role, accounting for $530,000 of the total. We’re delighted to be involved in helping Zeffer cider achieve their public offer target and wish the team all the best with their domestic and export plans,” says Simeon.
The Zeffer team have already hit the ground running in China and Thailand to set up point-of-sale systems, provide customised marketing collateral, and train their local sales team.
“The majority of the capital raised will be utilised to drive sales in China and Thailand. Over the last 12-months we’ve worked to establish pricing, format and channel strategies through market research and industry support networks.
“Over the next three years we aim to develop the business to a highly profitable and scalable level, where export revenue grows from 17% to 50% of total sales,” says Josh Townsend.
Domestically, funding will also be used towards completing Zeffer’s relocation to the Hawke’s Bay, to the source of the apples, resulting in an annual freight savings of approximately $200,000.
“Our team are truly passionate about what we do and we love sharing our world-class cider with New Zealanders, watch this space for more exciting developments regarding our growth journey,” concludes Josh.
The award-winning cider brand, founded in Matakana by Hannah Bower and Sam Whitmore in 2009, has already experienced impressive results in the cider category, which is now worth more than $100 million per annum in New Zealand, with Zeffer alone producing over 300,000 litres per year.
To keep up-to-date with Zeffer’s growth plans, visit www.zeffercider.co.nz