Why NuZee Stock Is Skyrocketing Today

NuZee, Inc. NUZE shares are trading higher Friday morning following the announcement about a five-year global licensing agreement with Stone Brewing.

Under the agreement, NuZee intends to co-manufacture and distribute Stone Brewing specialty coffee products nationwide. NuZee also wants to build a strong direct-to-consumer (D2C) business.

Stone Brewing is nation's 7th largest craft brewery, sold in all 50 states and internationally in over 40 countries. 

NuZee will produce a full line of specialty coffee products, including its proprietary single-serve DRIPKIT pour-overs, single-serve brew bags, whole bean 12 oz coffee bags, and Industrial Compostable capsules, all to be branded under the Stone name. 

The new product line is expected to launch in Q3 2023. Stone Brewing will launch Stone roasting coffee through NuZee.

"We are delighted to build upon the success of our past collaborations and expand our partnership with our San Diego neighbors at Stone. Our team will capitalize on the remarkable brand recognition and expanding influence of the Stone brand, synergizing it with our exceptional coffees and coffee-related offerings. We believe that this agreement will drive significant revenue growth, which will significantly increase shareholder value," commented Masa Higashida, NuZee's CEO.

Price Action: NUZE shares are trading higher by 19.4% at $10.92 premarket on Friday.