Led by Purchase Capital, the round fuels Ryl Tea’s next chapter following 157 % year-over-year growth, a multi-year licensing partnership with The Hershey Company, and the build-out of a DSD footprint in the US
The Ryl Company, parent company of fast-growing iced tea brand, Ryl Tea, announced the close of a Series C growth equity round of $20 million, led by Purchase Capital through its Ryl Growth Partners SPV. The investment will support the company’s next phase of growth, including continued retail and Direct Store Delivery (DSD) expansion, the build-out of its innovation pipeline, and team investments across operations, sales, and brand in the US.
The round comes as Ryl Tea has emerged as one of the fastest-growing brands in ready-to-drink tea, while the broader category enters what industry observers are beginning to call its “Modern Tea” moment; the next chapter of the better-for-you beverage movement that has already reshaped soda, energy, and hydration.
Over the past several years, a new generation of beverage brands have rewritten the rules of legacy beverage categories by meeting Gen-Z and Millennial consumers where their preferences have already moved: toward zero sugar, functional benefits, and culturally relevant brands. Retail data suggests that tea, one of America’s largest and most universally loved beverage categories, is having its turn now.
According to Circana, Ryl Tea grew 157 %, while the rest of the more than $4.5 billion canned and bottled tea category declined 1.8 % over the same period.1 For the first time, the absolute dollar growth of emerging tea brands is outpacing the absolute dollar decline of the legacy category. The company believes the divergence – the same inflection signal that preceded the Modern Soda and Modern Energy breakouts – signals growing consumer demand for a more modern approach to tea, particularly among younger shoppers.
The shopper opportunity is significant. Ready-to-drink tea already enjoys roughly 81 % household penetration2, but the category’s shopper base has historically skewed Gen-X and Boomer. Ryl Tea over-indexes with female Gen-Z and Millennial consumers, bringing incremental shoppers into a category that has been largely under-served by modern brands.
The funding follows a period of significant momentum for Ryl, which has spent the past 24 months establishing a national DSD footprint, placing the brand among a small group of emerging beverage companies with the route-to-market infrastructure to compete at scale. The company also recently announced a multi-year licensing partnership with The Hershey Company to launch the first zero-sugar Jolly Rancher-inspired iced tea products, pairing one of America’s most iconic flavour brands with Ryl’s modern, zero-sugar formulation.
1Source: Circana, LLC; Total US – MULO+ with Conv, Dollar Sales & Dollar Sales % Change v YA, 52 WE May 17, 2026
2Source: Data Provider, Numerator; Latest 52 Weeks Ending 03.29.2026l Category: Ready to Drink Tea
Sunny Sky Products, LLC, a leading producer of dispensed beverage solutions offering hot, cold, frozen, and beverage enhancer products for the convenience store and foodservice channels in the US, announced the closing of its acquisition of LX/JT Holdings Inc and subsidiaries, Dba Bevolution Group, a leading manufacturer and supplier of innovative beverage solutions, primarily selling clean label and preservative free smoothie bases, bar and cocktail mixes, juices, concentrates and other related beverage products into the foodservice channel from Highlander Partners, L.P. (along with its affiliates “Highlander”). The terms of the acquisition were not disclosed.
Bevolution was created via the combination of well-respected and reputable brands including JuiceTyme, Lemon-X, Dr. Smoothie and Tropics. The business operates a multi-site beverage manufacturing platform with 3 facilities strategically positioned across the US, with capacity to support future growth. Bevolution develops and innovates new products with its in-house R&D staff and partners with its customers to bring new on-trend products to market.
About Sunny Sky Products
Sunny Sky, a portfolio company of TJC, is a leading producer of dispensed beverage solutions, offering hot, cold, frozen, and beverage enhancer products for the convenience store and foodservice industry. The Company’s products include specialty cappuccinos, frappes, hot chocolates, cold brew and iced coffee, craft beverages, fountain drinks, aguas frescas, teas, frozen slushies, smoothies, coffee syrups, creamers, sauces and toppers. The Company employs approximately 400 team members across three best-in-class manufacturing facilities, Houston, TX (headquarters), Tinley Park, IL and Douglassville, PA.
About Bevolution Group
Bevolution is a leading manufacturer of innovative beverage solutions primarily selling clean label and preservative free smoothie bases, refreshers, bar and cocktail mixes, juices, teas, lemonades, thickened waters, beverage powders and other beverage concentrates in both shelf stable and frozen formats. Bevolution predominantly serves the foodservice, hospitality, coffee shop and convenience channels. The company markets and sells its products under company brands including Dr. Smoothie, Tropics, Refrasia and Lemon-X, as well as partners with customers on select customer or private label products. The business operates 3 manufacturing facilities across the US with production facilities in Chicago, IL, Frostproof, FL, and Fullerton, CA and employs approximately 175 employees across all locations.
Biosyntia has secured a Series B funding round of 11.5 million euros from a strong syndicate of experienced venture capital investors. The round was closed with an investment from the European Circular Bioeconomy Fund (ECBF) and the two existing investors, Sofinnova Partners and Novo Seeds, the early-stage investment and company creation team of Novo Holdings A/S. The investment will allow the company to enter the production phase of its first-of-its-kind, natural and sustainable active ingredients as well as expand the pipeline of products. The first product to be commercialized is a bio-based biotin (vitaminB7), for use in dietary supplements, food, and beauty products.
Biosyntia is an industrial biotech company delivering nature’singredients at scale both affordably and sustainably. Using cutting-edge biotechnology and proprietary R&D tools and insights, the company is developing first-of-its-kind precision fermentation processes to replace fossil-based alternatives. Its vision is to develop a natural and environmentally-friendly production process of essential nutritional active ingredients, reducing the use of petrochemically-based processes and driving a positive environmental impact. The company today has several commercial partnerships, including collaborations with large market players such as Givaudan and WACKER.
