VEEN Waters Finland Oy
VEEN is a premium beverage company from Finnish Lapland focusing on natural waters and high-quality beverages. With 95% of business being export focused, VEEN is facing a strong growth opportunity in the Indian subcontinent and the Middle East
VEEN is a design-driven premium beverage company established in 2007 focusing on natural waters and high-quality beverages with real ingredients. We have natural spring water sources and bottling plants in two of the most remote and unpolluted parts of the world – the Arctic Wilderness of Finnish Lapland and the Himalayan Kingdom of Bhutan. Although in Finland and Bhutan, the remoteness and purity of the environment is almost taken for granted, this is actually a very rare asset in today’s world. While our business is located in these two countries, over 95% of our business is export as we are focused on developing markets where tap water quality is not reliable. These markets such as India, Middle East & South East Asia are experiencing rapid growth in population and have a need for high quality natural food and beverage products in responsible recyclable packaging. We are raising equity to finance the exponential growth opportunity facing us in Indian market today where we have in the last four years established ourselves as a category leader in the premium glass bottle category of natural mineral water.
THE GLOBAL FOOD CHAIN CHALLENGE
The world’s food chain is polluted. The oceans are polluted with plastic. Basic foods like dairy, meat, drinks, fruit and vegetables are being injected with chemicals, polished with colouring and highly processed. Beverages are loaded with sugar and artificial ingredients and so-called “nature identical flavours”. REAL food is becoming hard to find.
Consumers are catching on. People, conscious of their health and wellbeing, are starting to read food labels and understand what they consume. Consumers now demand craft, unprocessed and non-industrialized food and beverage. The kind of food and beverage that is made responsibly, ethically and with keeping in mind the environment, quality and wellbeing.
VEEN’S CONTRIBUTION TO THIS CHALLENGE
We have found our niche within the beverage sector in the natural water and beverage segment.
4 years ago, our Finnish brand with roots in the Arctic circle was the first brand to launch natural still/sparkling water in a recyclable glass bottle in the entire market of India. Not only were we the first, but we have played a big role in the changing mindset of the Indian restaurant/hotel industry to move away from PET bottles going to landfill, into recyclable glass packaging.
Having increased sales threefold since entering the Indian market in 2015, VEEN is today is close to reaching economies of scale and turning profitable. We are confronted with an enormous growth opportunity because the brand is taking off on the Indian subcontinent. The demand for our product in India is such that we could easily triple sales of mineral water in India in 2019 vs 2018, had we the working capital to finance inventory and support the expansion of our sales / distribution teams / channels. This growth pattern is expected to remain intact for the medium to long term due to several factors and India sales alone is expected to double between 2018 and 2019. In addition to this, our more recently introduced craft mixer range and Ayurveda products will further support sales growth in other markets.
No doubt India has become our biggest market, followed by the Middle East with brand presence in 16 countries already. In the next 3 years, we intend to cover 55 cities, widen our sales network, distribution platform and sales pipeline through which we will help other natural food and beverage brands grow aside our own portfolio. We intend to become a global premium beverage company from the Arctic Circle with its predominant growth story in India and the Middle East.
The VEEN brand and business is operated as a group of three companies with two individual water sources and two bottling plants currently catering to 16 different countries. The group currently employs 54 full time people based in 6 countries.
A common management team manages the three companies.
VEEN Waters Finland Oy– a privately owned business domiciled in Ylitornio, Finland which was established in 2007.
VEEN Waters (India) Pvt. Ltd – a 100% subsidiary of VEEN Waters Finland Oy domiciled in Mumbai, India which was established in 2012.
VEEN Waters Bhutan Pvt. Ltd – a 74% owned subsidiary of VEEN Waters (India) Pvt. Ltd. domiciled in Samtse, Bhutan which was established in 2013. The other 26% is owned by a local Bhutanese Shareholder/partner.
To accelerate our growth, we are looking to attract additional investment for the group into the parent company, VEEN Waters Finland Oy from investors looking to benefit from the global growth of our brand.
We are hopeful that with our differentiated products and targeted distribution, we shall be able to create strong returns for every partner in our business.
We invite you to invest in the company and become a partner to enjoy the growth story of the VEEN brand.
Why invest in VEEN?
The six most compelling reasons to invest in VEEN are as follows:
- Business Model
- Route to Market
- Water Sources
- Property, Plant & Equipment in Unique Locations
- Licenses and Distribution
The VEEN brand deeply rooted in Arctic wilderness of Finnish Lapland is arguably our biggest asset.
- Today VEEN has built a recognised, distinct and award-winning brand in the premium beverages market.
- The VEEN brand was the biggest winner at the first Gourmet Waters International Contest in Paris in Jan 2017 with 3 awards:
- Gourmet Gold Medal for VEEN Velvet in Light Still Water category
- Gourmet Medal for VEEN Effervescent in the Light Sparkling Water category
- Gold award for Best Design
- VEEN Velvet won the Bronze award at the First and Second International Fine Water tasting competition in Guangzhou, China in June 2016/2017
- VEEN Velvet received 2 stars and superior taste award from the International Taste and Quality Institute, Brussels
- Taylors Coffee UK voted VEEN as the best water to brew coffee in the “the ultimate cup of coffee” video – https://youtu.be/FEr0QAYSEXQ
- Fine Wine Magazine voted VEEN as the best water with wine.
- VEEN has won numerous design awards including the prestigious “GOOD DESIGN” award and “Best Bottle in Glass” at the BottledWater Awards 2007.
- We have a long history and legacy with water and Mother Nature. We nourish our knowledge and have built up our water-know how to find unique water sources and create products for specific purposes based on the characteristics of our waters.
We have built a unique set of global premium accounts in 16 countries exclusively in HORECA (hotel, restaurant, catering) to support our next growth step – Retail.
- VEEN has attracted high quality accounts globally including hotels within companies such as Mandarin Oriental, Four Seasons, Jumeirah, Marriott, Shangri La, and Hyatt.
- VEEN has national contracts in India with ITC Hotels, Hilton India and Lalit Hotel Group and is sold nationally with Hyatt Hotels in India.
- VEEN has a national contract with Ginza Project – one of the leading premium restaurant groups in Russia.
- VEEN has been chosen by multiple award-winning/Michelin star chefs such as Hans Välimäki, Manish Mehrotra, Samuli Wirgentius, Vineet Bhatia and Alex Moser .
- VEEN has been associated with numerous lifestyle events and brands such as Nordic Business Forum, Dubai Beach Polo, Cartier, LVMH, Arsenal Football Club, F1, London Fashion Week, Frieze Art Fair, Nightwish, Global Hotel Alliance, etc. to name a few.
- VEEN products are currently sold in approx. 1100 points of sale – premium hotels, restaurants, bars and nightclub in 16 countries.
- VEEN Nordic Mixers launched in Finland in an exclusive distribution agreement with Hartwall Plc – Finland’s largest brewery, and our Nordic Tonic Water was launched in Alko in the summer of 2018.
Route to Market
We have built a strong route to market and distribution in one of the world’s largest growing consumer markets, India. We are creating a sales network, distribution platform and sales pipeline into 55 key global cities with a focus on India and the Middle East through which we will help other natural food and beverage brands grow aside our own portfolio. We already directly employ 54 people and are looking to expand our team substantially by adding 41 additional sales people in the next 3 years.
Our planned 55-city presence will include 29 cities in the Indian subcontinent, 8 cities in the Middle East, 6 cities in South East Asia and 8 cities in Europe. Having our own presence in these cities will enable a direct sales pipeline and extremely strong network of “on the ground” sales professionals who will not only build our own portfolio of products but give us the opportunity to extend our sales/distribution services to like-minded non-competing food and beverage brands from Finland and Bhutan that could use our network to grow their business.
- Finnish Lapland – VEEN Waters Finland Oy has secure access to a natural spring water source at Konisaajo Springs in Lapland, Finland. VEEN has a 50-year lease on the spring with water supply of up to 250,000 litres per day from the spring. Current remaining lease is 46 years.
- Kingdom of Bhutan – VEEN Waters Bhutan Pvt. Ltd. has ownership to a natural mineral water spring in Samtse, Kingdom of Bhutan. Water supply from the spring is up to 67,000 litres per day.
- The unique characteristics of each of our sources have given us the option to create individual products for specific purposes within specific channels of sale.
- The multi-source model gives us the ability to replicate the model with other unique water sources in different regions to the world.
Property, Plant & Equipment in Unique Locations
- VEEN has two fully automated bottling plants in extremely rare, remote, unique and unpolluted locations.
- Lapland is the home of VEEN’s first bottling plant, which is close to the Arctic Circle and home an average on only 2 persons per sq. km
- Kingdom of Bhutan is home to VEEN’s second bottling plant. Considered the “last Shangri-La of the world” Bhutan is still covered with 75% of forest.
Licenses & Distribution
- VEEN products are currently being sold in premium hotels, restaurants, bars and nightclubs in the following countries – Finland, Estonia, France, Italy, Belgium, UK, Russia, United Arab Emirates, Qatar, Kuwait, Saudi Arabia, India, Kingdom of Bhutan, Singapore, China and Thailand.
- VEEN is licensed & governed by Rovaniemi Environmental Health Department under EU water laws & guidelines.
- VEEN has been approved by Emirates Standards Authority for sale in the UAE with a ESMA license.
- VEEN Waters Bhutan holds a natural mineral water license in India from the Bureau of Indian Standards.
- Our existing EU licenses enable us to sell our products in each of the other existing markets that we currently cater to.