Bristol-based beverage company Koji Drinks has raised £150,000 of new equity capital through a deal led by the Angel CoFund, Wren Capital and Arion One.

Having been one of the first businesses to take advantage of the £100 million Angel CoFund in May 2012 when it secured £350,000, Koji Drinks has decided to go down the same path.

Koji Drinks was formed out of Future Drinks Co, a business set up by Luke Sapsed and Tim Chater in 2010, and combines natural fruit extracts and botanicals into spring water without needing to add large amounts of sugar.

Chater comments, ‘There are various government and industry initiatives such as “Action on Sugar” to reduce the amount of sugar in processed foods. This is just one indication of the way attitudes towards sugar are changing.

‘The support from the Angel CoFund has been fantastic for us; the funding and encouragement of our investors has been a driving force over recent years and we look forward to continuing this relationship.’

The Angel CoFund has now backed in excess of 40 companies with £17 million of direct investment. This total has then been bolstered by £65 million of further capital from business angels and investors. The fund is backed by the British business bank as well as the Regional Growth Fund.

More on the Angel CoFund:

• Two years in and 38 companies backed by Angel CoFund
• Five angel networks to lead £50 million fund
• Angel CoFund spreads its wings and looks to include new networks

Tim Mills, investment director at the Angel CoFund, says that with the business being one of the first five to be backed, it is ‘fantastic’ to continue the support.

‘The Angel CoFund is about getting cash to great British businesses that can scale, but also supporting them with more than just money,’ he adds.

‘The skill, drive and passion of the team, along with their won, Japanese inspired, infusion process, really convinced our syndicate that this was an opportunity that could build into a successful brand.’

The finance committed through the deal will be used to re-launch Koji Drinks and allow Sapsed and Chater, who have experience working for brands such as Nestle Waters, Premier Foods, Diageo and SAB Miller, to build the team.

See also: Thirsty 30 – the top fast growth beverage brands in the UK