Balance sheet strengthened through capital formation and significant debt reduction as Dunn & Groux Beverage Holdings accelerated commercialization of the GUTSI™ platform, expanded national distribution, and continued executing its vertically integrated beverage and wellness commercialization strategy.
Commercial production underway across the GUTSI™ beverage and wellness portfolio with active distribution spanning six U.S. markets.
LOS ANGELES, July 15, 2026 (GLOBE NEWSWIRE) -- Victory Marine Holdings Corp. (OTC: VMHG), through its operating subsidiary Dunn & Groux Beverage Holdings, Inc. ("DGBH"), today provided a second quarter 2026 business update highlighting significant progress in strengthening the Company's capital structure while advancing the commercialization of its vertically integrated beverage and wellness platform. During the quarter, the Company reduced outstanding convertible note debt by more than 95%, strengthened its balance sheet through continued capital formation, accelerated commercialization of the GUTSI™ platform, expanded company-owned and partner distribution capabilities, and continued executing the long-term operating strategy established following the March 2026 reverse merger.
The second quarter represented the Company's first full quarter of commercial execution following the March 2026 reverse merger. With the foundational elements of the business combination in place, management focused on strengthening the Company's capital structure, expanding national distribution, commencing commercial production across the GUTSI™ portfolio, growing company-owned Direct Store Distribution ("DSD") operations, and positioning the business for continued national retail expansion.
Management believes the second quarter marked an important inflection point as DGBH transitioned from building its operating platform to executing its national commercialization strategy.
Collectively, these accomplishments reflect continued execution of DGBH's long-term commercialization strategy, combining strengthened financial resources, expanding commercial capabilities, company-owned distribution infrastructure, and experienced commercial leadership into an integrated operating platform designed to support sustainable national growth.
Capital Markets Highlights
Financial milestones achieved during Q2 2026
Commercial Execution Highlights
Operational milestones achieved during Q2 2026
Second Quarter 2026 Highlights:
- Reduced outstanding convertible note debt by more than 95% during the quarter, with the remaining balance eliminated effective June 30, 2026.
- Raised approximately $3.806 million through the Company's private financing program.
- Generated approximately $250,000 in commercial revenue during the Company's first five weeks of active commercial operations.
- Expanded Company-owned Direct Store Distribution operations across California and Arizona.
- Commenced commercial production across the Company's core GUTSI™ product portfolio.
- Continued active distribution across multiple U.S. markets.
- Completed the Company's national commercial leadership organization.
- Expanded commercialization of nationally recognized third-party beverage brands through Company-owned DSD operations.
- Received approval to distribute through UNFI into the natural products channel, supporting future retail expansion.
- Continued advancement of the Company's public company transition strategy.
Strengthened Capital Structure Positions DGBH for Continued Commercial Execution
One of the most significant accomplishments achieved during the second quarter was the substantial reduction of the Company's legacy convertible note debt. During the quarter, Victory Marine Holdings reduced outstanding convertible note obligations by more than 95%, materially strengthening its capital structure while reducing potential future shareholder dilution. Effective June 30, 2026, management completed the elimination of the remaining convertible note debt balance, marking an important milestone in strengthening the Company's capital structure and positioning management to focus on commercial execution and long-term growth.
During the quarter, the Company also strengthened its balance sheet through the successful completion of approximately $3.81 million in private capital financing, providing additional financial resources available to support inventory expansion, commercial production, distribution infrastructure, sales execution, and continued commercialization of the GUTSI™ beverage and wellness platform.
As of June 30, 2026 (unaudited), the Company reported approximately $2.28 million in cash and cash equivalents and approximately $3.0 million in total assets. Management believes the strengthened capital position provides the financial flexibility necessary to continue executing the Company's commercialization strategy while supporting production expansion, national retail development, strategic distribution partnerships, and long-term shareholder value creation.
"Strengthening our balance sheet was never an end in itself—it was a strategic priority. Reducing our legacy convertible debt while successfully raising growth capital has positioned us to focus our resources where they belong: commercial execution, national expansion, and building a scalable business capable of creating long-term shareholder value. We believe the second quarter fundamentally strengthened both our financial position and our ability to execute the next phase of our commercialization strategy."
— Robert J. Groux, Chief Executive Officer, Victory Marine Holdings Corp. / Dunn & Groux Beverage Holdings
Commercial Execution Accelerates
Beyond strengthening its capital structure, the second quarter marked the beginning of broad commercial execution across the Company's vertically integrated beverage and wellness commercialization platform. During the quarter, DGBH commenced commercial production, secured its first major grocery chain authorization, expanded national distribution, increased utilization of its company-owned Direct Store Distribution ("DSD") infrastructure, and continued strengthening relationships with nationally recognized beverage partners.
Management believes these accomplishments demonstrate the successful transition of the Company's commercialization strategy from platform development to measurable commercial execution following the March 2026 reverse merger, positioning DGBH for continued expansion during the second half of 2026.
First Major Grocery Retail Authorization — Giant Food Stores
One of the most significant commercial accomplishments achieved during the second quarter was the authorization of GUTSI™ products for distribution into Giant Food, representing the Company's first major grocery chain authorization and an important validation of both the GUTSI™ platform and DGBH's commercialization strategy.
Giant Food Stores is one of the Mid-Atlantic region's leading grocery retailers, serving customers throughout Maryland, Virginia, Delaware, and the Washington, D.C. metropolitan area. Initial commercialization includes the GUTSI™ Prebiotic Mineral Soda line and GUTSI™ Functional Mineral Hydration (1-Liter PET), with distribution managed through Lead Off Distribution, the Company's established Mid-Atlantic distribution partner.
Management believes the Giant Food authorization demonstrates the Company's ability to successfully commercialize proprietary consumer brands through established retail channels while providing an important operating foundation for additional grocery, mass, drug, convenience, and natural retail opportunities currently under development.
“Giant Food represents an important validation of everything we've been building. When an established regional grocery operator authorizes your products, it validates not only the products, but also the commercialization platform, the operating strategy, and the team's ability to execute. We believe this milestone strengthens our position as we continue expanding retail opportunities across the United States.”
— Robert J. Groux, Chief Executive Officer, Victory Marine Holdings Corp. / Dunn & Groux Beverage Holdings
GUTSI™ Platform: Commercial Production Expands Across Four Product Platforms
Introduced earlier this year, GUTSI™ is a multi-category functional beverage and wellness platform built around the Company’s proprietary fulvic and humic mineral technology, backed by issued and pending patents. DGBH commenced commercial production during Q2, with production activity scheduled across the full GUTSI™ portfolio through Q3 2026:
- GUTSI™ Prebiotic Soda — actively in production across all six core flavors; next run scheduled the week of July 13, 2026.
- GUTSI™ Functional Mineral Hydration (500ml & 1-Liter PET) — first commercial run commenced with inventory committed to Giant Food fulfillment; second PET run scheduled for July 27, 2026.
- GUTSI™ Fulvic & Humic Mineral Drops — production runs scheduled for late July 2026.
- GUTSI™ Prebiotic, Probiotic & Postbiotic Gummies — production scheduled for late July / early August 2026.
National Distribution: Six U.S. Markets Now Active
Building on previously announced initiatives — including the activation of GUTSI™ distribution across multiple U.S. markets and the Company’s distribution relationship with AriZona Beverages — the Company’s distribution platform now spans six active U.S. markets:
Company-Owned DSD Infrastructure
Groux Distribution Group (“GDG”) owns and operates two Company-owned direct-store-distribution facilities, providing the Company with direct control over routes, retail relationships, in-store execution, and margins:
- GDG-LA: 15,000 sq ft in Paramount, California (lease effective April 1, 2026), serving Los Angeles, Riverside, San Bernardino, and Orange Counties; targeting 2,500–3,000 retail locations by year-end 2026. Beer, Wine, Spirits & Importers licenses applied for.
- GDG-AZ: 5,000 sq ft in Tempe, Arizona, serving the greater Phoenix metro; targeting 2,500–3,000 retail locations by year-end 2026.
Both facilities distribute GUTSI™ alongside a growing portfolio of nationally recognized brands, including AriZona®, Crystal Geyser®, EIRA® Premium Norwegian Water, RedCon1® Energy, Jolt® Energy, Total War® RTD, and Golden Batch® product lines, providing beverage warehousing, logistics, fulfillment, inventory management, and regional distribution capabilities. Management believes company-owned DSD infrastructure remains one of the Company's most significant competitive advantages, providing direct market access, commercial execution capabilities, and operating leverage not available to many emerging beverage companies.
Management Commentary
“Q2 2026 was the quarter where everything we built came to life. We eliminated nearly all of our convertible debt, put GUTSI™ into Giant Food, activated distribution in six markets, commenced production across our core product lines, and scaled a company-owned DSD network spanning California and Arizona — every one of those things in a single quarter. That is not a startup finding its footing; that is a platform executing its plan. We continue executing the strategy we established following the Dunn & Groux merger, and we believe these initiatives position the Company for continued long-term growth. We are just getting started.”
— Robert J. Groux, Chief Executive Officer, Victory Marine Holdings Corp.
Second Half 2026 Strategic Priorities
- Fulfilling Giant Food distribution commitments and expanding Mid-Atlantic shelf presence
- Scaling GUTSI™ production across all SKUs to meet growing national demand
- Expanding retail door count toward 10,000 locations by year-end 2026 across Company-owned DSD operations and the Company’s distributor network
- Completing the OTCQB uplisting process, including pre-audit preparation and PCAOB audit firm engagement
- Continuing national market expansion beyond the six currently active markets
- Launching GUTSI™ Gummies and Mineral Drops into active distribution
Strategic Outlook
The Company believes the completion of its national commercial leadership organization represents an important milestone in the continued execution of its long-term commercialization strategy. Management believes this expanded commercial organization will accelerate national retail expansion, support continued growth of the GUTSI™ beverage and wellness portfolio, strengthen strategic distribution partnerships, increase utilization of the Company's company-owned Direct Store Distribution infrastructure, and broaden commercialization opportunities for both proprietary and nationally recognized third-party beverage and wellness brands.
As DGBH continues to expand its vertically integrated beverage and wellness commercialization platform, management believes the Company is increasingly positioned to innovate, develop, commercialize, distribute, and scale consumer brands through a disciplined operating model designed to support sustainable long-term growth and shareholder value creation.
Management believes the commercial capabilities assembled over the past several months establish a scalable foundation capable of supporting both the continued expansion of GUTSI™ and future strategic commercialization opportunities across the broader beverage and wellness industry. As the Company continues to expand its vertically integrated beverage and wellness commercialization platform, management believes these capabilities will support sustainable long-term growth, increasing enterprise value, and continued execution of the Company's commercialization strategy while creating long-term value for shareholders, retail partners, distribution partners, and consumers.
About Groux Distribution Group
Groux Distribution Group (“GDG”) is the operating distribution subsidiary of Dunn & Groux Beverage Holdings, Inc. GDG operates company-owned Direct Store Distribution facilities in Los Angeles, California (15,000 sq ft) and Tempe, Arizona (5,000 sq ft), serving retailers across Southern California and the greater Phoenix metro area. GDG distributes the GUTSI™ functional beverage platform alongside a diversified portfolio of nationally recognized beverage, hydration, energy, and consumer packaged goods brands. GDG-LA recently received Beer, Wine, Spirits, and Importer licensing approvals and expects to begin alcohol distribution activities during the third quarter of 2026. GDG-AZ has submitted applications for Beer, Wine, and Spirits licensing to support future expansion initiatives. For more information, visit www.dgbh.us.
About Dunn & Groux Beverage Holdings, Inc.
Dunn & Groux Beverage Holdings, Inc. is the operating subsidiary of Victory Marine Holdings Corp. (OTC: VMHG) and the operating parent of the GUTSI™ functional beverage brand and Groux Distribution Group. DGBH is building a vertically integrated beverage and wellness commercialization platform combining proprietary consumer brands, company-owned Direct Store Distribution (DSD) infrastructure, national commercialization capabilities, and strategic distribution partnerships designed to accelerate long-term growth. GUTSI™ products are formulated with a proprietary fulvic and humic mineral complex backed by issued and pending patents. DGBH has been featured in BevNET and Beverage Insider. For more information, visit www.getgutsi.co.
About Victory Marine Holdings Corp. (OTC: VMHG)
Victory Marine Holdings Corp. (OTC: VMHG) is a publicly traded holding company whose principal operating subsidiary is Dunn & Groux Beverage Holdings, Inc. The Company is focused on building long-term shareholder value through the development of proprietary consumer brands, company-owned distribution infrastructure, and expanding national market access. For investor information, contact ir@dgbh.us.
Investor & Media Contact
Robert J. Groux
Chief Executive Officer
Victory Marine Holdings Corp. / Dunn & Groux Beverage Holdings, Inc.
Email: ir@dgbh.us
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Forward-looking statements include, without limitation, statements regarding planned production runs and schedules, anticipated distribution expansion, national distribution relationships, retailer authorizations, future shipments, market growth expectations, anticipated licensing approvals, and the Company’s ability to execute its distribution-led national growth strategy. These statements involve known and unknown risks, uncertainties, and other factors that may cause actual results, performance, or achievements to differ materially from those expressed or implied by such forward-looking statements, including but not limited to risks related to production delays, distributor performance, retailer acceptance, regulatory approvals, and general market conditions. The Company undertakes no obligation to update or revise any forward-looking statements as a result of new information, future events, or otherwise, except as required by applicable law.
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