Recess, the pioneer and category leader in the relaxation beverage space, announced the successful close of its $30 million Series B funding round and the appointment of Kyle Thomas — former Global Chief Commercial Officer at Nutrabolt, the parent company of C4 Energy and Bloom — as its new President and Co-CEO. This milestone marks a transformative new chapter for the company as it accelerates national expansion, strengthens its organizational capabilities, and invests in brand marketing to further solidify its leadership in the rapidly growing relaxation and functional beverage category.
A Strategic Partnership for Growth
The $30 million funding round was led by CAVU Consumer Partners, with participation from Rocana, Midnight Ventures, Torch Capital, Doehler Ventures, KAS Venture Partners, Vanquish, and Craig Kallman. This capital infusion will allow Recess to scale operations, grow retail distribution, enhance marketing efforts, and continue to innovate across its expanding portfolio of functional beverages.
For CAVU Consumer Partners, known for investing in disruptive consumer brands, Recess represents their latest major move in the beverage space following their success with poppi — the modern soda brand recently acquired by PepsiCo for $1.95 billion. CAVU’s decision to back Recess underscores its confidence in the growing relaxation and mental wellness beverage market, which is fast emerging as a counterbalance to the traditional energy drink segment.
“There’s a $25 billion-plus energy drink market in the U.S. built on stimulation, and we believe there needs to be a counterweight built on relaxation,” said Jared Jacobs, Partner at CAVU Consumer Partners. “Recess is the restorative alternative consumers are seeking — functional beverages that put mental wellness and balance first. It’s not about powering through the day but being more mindful within it. We’re thrilled to partner with Ben and the team to scale Recess from category pioneer to the definitive household name in modern relaxation.”
Brett Thomas, Co-Founder and Managing Partner at CAVU, added, “Consumers today are seeking products that do more for them, and Recess perfectly captures that shift. We believe relaxation is the next frontier — a concept that deeply resonates with today’s overstimulated generations. With Kyle Thomas joining as Co-CEO, we’re confident Recess is positioned to define this space and become a transformational brand.”
A Proven Industry Leader Joins the Helm
The addition of Kyle Thomas as President and Co-CEO marks a pivotal moment for Recess. A seasoned beverage industry veteran with over 25 years of experience, Thomas brings an extensive track record of scaling iconic brands and driving commercial excellence.
Thomas spent more than a decade at The Coca-Cola Company, where he held key leadership roles in the company’s Emerging Brands division, helping nurture and grow innovative beverage concepts. Most recently, he served as Global Chief Commercial Officer at Nutrabolt, where he helped scale the C4 Energy business from tens of millions to nearly $1 billion in sales, and successfully launched Bloom Energy and Bloom Pop, two of the most notable brand introductions in the functional beverage category.
“Recess is at the forefront of what I believe will become one of the next major beverage categories — functional relaxation beverages and alcohol alternatives,” said Kyle Thomas. “I’m incredibly excited to partner with Ben and the team to unlock Recess’s full potential. Having helped scale brands like C4 and Bloom across categories, I see that same potential here. Recess has built an exceptional foundation, and my immediate focus will be on enhancing organizational capabilities and building the commercial systems necessary to transform Recess into an iconic modern beverage company.”
Driving the Future of Functional Relaxation
The combination of CAVU’s strategic investment and Thomas’s leadership reflects the strong performance and scalability of the Recess brand platform. The company is well-positioned to capture increasing consumer demand for beverages that promote mental wellness, stress relief, alcohol moderation, and improved sleep — a rapidly growing segment within the functional beverage landscape.
Since its launch in late 2018, Recess has evolved from its origins as the pioneer CBD beverage brand into a diversified functional beverage leader. Today, over 95% of its sales come from its magnesium-based Recess Mood line, the leading relaxation and mood-enhancing drink in the U.S. The company also recently introduced Recess Zero Proof Craft Mocktails, which have quickly become the leading ready-to-drink mocktail line and a favorite among consumers seeking alcohol alternatives.
“The vision for Recess has always been to lead the development of the relaxation category and its subcategories by creating a portfolio of products designed to help people relax, unwind, and socialize in healthier ways,” said Benjamin Witte, Founder and Co-CEO of Recess. “The journey over the past seven years has been filled with challenges, but also incredible milestones. We’ve built a strong foundation, and now, with Kyle and the CAVU team, we’re entering a new chapter — one focused on accelerating growth and expanding our impact on a much larger scale.”
Expanding Reach and Redefining a Category
Recess’s products are now sold in more than 15,000 retail stores across the U.S., including major national chains such as Target, HEB, Kroger, Sprouts, Trader Joe’s, and Whole Foods Market. Additionally, Recess has become the largest alcohol alternative brand on Amazon, reinforcing its strong position in both physical and digital retail channels.
The company’s success lies in its ability to create a completely new consumer experience — one focused on balance and mental clarity rather than stimulation. As the energy drink market continues to thrive, Recess is carving out a complementary and fast-growing segment centered on calm, mindfulness, and relaxation.
By leading the development of the “relaxation beverage” and “modern mocktail” movements, Recess has successfully reshaped the functional beverage landscape. Its innovation-driven approach has also spurred major retailers to expand their ready-to-drink (RTD) mocktail sets, creating new opportunities for category growth nationwide.
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