Information on the Target

Founded in 2010 in Alcoy, 226ERS is a leading Spanish sports nutrition brand tailored for endurance sports enthusiasts. The brand stands out in Spain for its commitment to high-quality products made from natural ingredients, which are free from added sugars, gluten, and are also vegan and ketogenic. With a product portfolio of over 150 references, 226ERS caters to various needs of endurance athletes by offering optimal solutions for training, competition, and recovery.

As 226ERS embarks on a mission to strengthen its position as a leading brand in Europe for endurance athletes, the company continues to be spearheaded by its founders, Jesús Sánchez Bas and Ángel Sevillano, who remain majority shareholders. The recent entry of Nazca Capital into the company aims to further bolster its international expansion strategy.

Industry Overview in Spain

The sports nutrition market in Spain has experienced significant growth in recent years, driven by an increasing awareness of the importance of nutrition in athletic performance and overall health. The rise in participation in endurance sports such as triathlons and marathons has contributed to a burgeoning demand for high-quality nutritional products. Consumers are increasingly seeking options that prioritize health, sustainability, and performance enhancement.

Spain’s healthy lifestyle trend has catalyzed growth in the sports nutrition sector, attracting more brands focusing on organic and naturally sourced ingredients. The country’s diverse culinary landscape also influences consumer preferences, favoring products that align with local dietary habits while maintaining high health standards.

Moreover, the shift towards online purchasing platforms has made it easier for brands to reach a broader audience. As a result, companies like 226ERS have leveraged e-commerce to expand their market share and connect with their target consumers more effectively.

In terms of competition, Spain is home to numerous domestic and international brands vying for attention in the sports nutrition space. The emphasis on quality and innovation continues to set successful brands apart from others. 226ERS's commitment to product excellence positions it favorably in this competitive landscape.

The Rationale Behind the Deal

The collaboration with Nazca Capital is a strategic move for 226ERS, aiming to secure the necessary resources and funding to implement its ambitious international growth plan. The partnership will not only inject new capital into the brand but also provide invaluable expertise in research, marketing, and supply chain management to accelerate the brand's development further.

By aligning with Nazca Capital, 226ERS can enhance its operational capabilities and expedite product innovation, ensuring it remains at the forefront of the ever-evolving sports nutrition industry.

Information about the Investor

Nazca Capital is a premier venture capital firm specializing in providing growth capital to Spanish SMEs. With a deep understanding of the market dynamics and a robust network, Nazca Capital focuses on facilitating the growth of promising companies through strategic investments and operational support.

The firm is recognized for its commitment to identifying high-potential investments, particularly in niche markets with significant growth trajectories. Its involvement with 226ERS reflects Nazca's strategy to back businesses that align with emerging consumer trends in health and wellness.

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Investing in 226ERS through Nazca Capital is a compelling opportunity, as the brand operates in a high-growth niche of the sports nutrition market. The company's strong track record of annual revenue growth, exceeding €7 million in 2022 and expanding at rates of 50%, underscores its potential for continued success. The focus on natural and health-oriented products is particularly advantageous in today's market, where consumers prioritize wellness-oriented choices.

The extensive product range and established relationships with influential athletes and events, such as the IRONMAN European Series, bolster 226ERS's brand credibility and visibility. This accessibility to a dedicated consumer base enhances the potential for market penetration across Europe, particularly in the booming health and fitness sectors.

Moreover, the partnership with Nazca Capital promises to strengthen 226ERS's infrastructure and product development capabilities. This support will be crucial in meeting the growing demand for innovative products tailored for endurance athletes and health-conscious consumers alike.

Given the current trends in the sports nutrition industry, the partnership between 226ERS and Nazca Capital appears poised for success, positioning the company well for scalable growth and fortifying its presence as a leader in the European market.

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