Functional Brands (NASDAQ: MEHA) inks $142.9M all‑stock BullionFX Alchemy asset deal
Rhea-AI Filing Summary
Functional Brands Inc. entered into a binding letter of intent to acquire the assets and intellectual property of BullionFX, including its Alchemy blockchain platform, in an all‑stock transaction valued at approximately $142.9 million.
The seller would receive preferred stock that is expected to convert into common shares after shareholder approval in line with Nasdaq requirements. The LOI includes a due diligence period through May 31, 2026, and automatically terminates by June 15, 2026 if no definitive agreement is signed. The company highlights multiple risks, including valuation, regulatory and shareholder approvals, integration challenges, and potential dilution for existing stockholders.
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Insights
Binding LOI for $142.9M all‑stock asset deal with significant conditions.
Functional Brands has signed a binding LOI to acquire BullionFX’s Alchemy assets in an all‑stock transaction valued at $142.9 million. Consideration would be paid in preferred stock that automatically converts to common shares after shareholder approval under Nasdaq rules.
The LOI binds the parties on exclusivity, diligence and confidentiality, but core deal terms remain subject to a definitive agreement, satisfactory valuation, due diligence, Nasdaq review and stockholder approval. The company explicitly notes risks around integration, market conditions and the possibility that the transaction is not completed.
The forward‑looking statements highlight potential significant dilution for existing stockholders and uncertainty about long‑term common stock value after any acquisition. Investors will need future disclosures on the definitive agreement, closing conditions and the valuation report before assessing the economic impact.
8-K Event Classification
Key Figures
Key Terms
Letter of intent regulatory
blockchain-based infrastructure technical
decentralized finance financial
stablecoins financial
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
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Item 7.01. Regulation FD Disclosure.
On May 11, 2026, Functional Brands Inc. (the “Company”) issued a press release announcing the entry into the LOI (as defined below), which is furnished herewith as Exhibit 99.1 and incorporated by reference into this Item 7.01 by reference in its entirety.
The information in this Item 7.01, including the accompanying exhibit, is being furnished and shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), or otherwise subject to the liabilities of that Section. The information in this Item 7.01 shall not be incorporated into any filing pursuant to the Securities Act of 1933, as amended, or the Exchange Act, regardless of any general incorporation language in such filing.
Item 8.01. Other Events.
On May 9, 2026, the Company entered into a letter of intent (the “LOI”) with BullionFX Ltd (the “Seller”) to purchase certain assets and intellectual property of the Seller, including its Alchemy product, a blockchain-based infrastructure enabling on-chain settlement while maintaining backing in gold holdings (the “FX Assets”), in exchange for preferred stock in the Company (the “Preferred Stock Shares”) with an expected value of $142,900,000 (the “Proposed Transaction”). The Preferred Stock Shares are expected to automatically convert into shares of the Company’s common stock, par value $0.00001 (the “Common Stock”), upon approval of such conversion by the Company’s shareholders in accordance with the rules and requirements of the Nasdaq Stock Market LLC (“Nasdaq”) at a duly called meeting of stockholders (“Stockholder Approval”). Pursuant to the LOI, the Company and the Seller agreed to use good faith efforts to finalize and complete a definitive agreement in respect of the Proposed Transaction (“Definitive Agreement”), including determining the final terms of the designation of the Preferred Stock Shares and other customary documentation.
The LOI contains binding provisions regarding exclusivity and due diligence, confidentiality, and expenses. The LOI provides a due diligence period from the date of the LOI until the earlier of entry into a Definitive Agreement or May 31, 2026 (the “Due Diligence Period”), which will allow the Company to further evaluate the FX Assets. The remaining provisions of the LOI are non-binding and reflect the parties’ intent to proceed in good faith to consummate the Proposed Transaction. Contemplated conditions precedent to the Proposed Transaction include negotiation of, and entry into, a mutually acceptable Definitive Agreement, completion of satisfactory due diligence, the Company’s receipt of a satisfactory valuation report in respect of the FX Assets, receipt of any required approval by Nasdaq of the terms of the Proposed Transaction, and other customary closing conditions.
The LOI will automatically terminate and be of no further force and effect upon the earlier of: (a) execution of the Definitive Agreement, (b) mutual agreement of the Company and the Seller to terminate the LOI, (c) written notice by either the Company or the Seller to not move forward with the Transaction following the Due Diligence Period; or (d) June 15, 2026.
Forward Looking Statements
This report contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Words like “believe,” “intend,” “may,” “will,” and “would” or the negative thereof or other variations thereon or comparable terminology, are used to identify forward-looking statements, although not all forward-looking statements contain these words. There is no assurance that the parties will successfully negotiate and enter into a Definitive Agreement. The terms and conditions of any Definitive Agreement, if reached, may differ materially from those contemplated in the LOI and described above. Furthermore, even if a Definitive Agreement is executed, there is no guarantee that the Proposed Transaction will be consummated on the terms or timeframe currently anticipated, or at all. Although the Company believes that it is basing its expectations and beliefs on reasonable assumptions within the bounds of what is currently known about its business and operations, there can be no assurance that actual results will not differ materially from what the Company expects or believes. Some of the factors that could cause the Company’s actual results to differ materially from its expectations or beliefs are disclosed in the “Risk Factors” section, as well as other sections, of its reports filed with the Securities and Exchange Commission, which include, without limitation, the Company’s ability to successfully negotiate a Definitive Agreement and consummate the Proposed Transaction, expectations regarding the valuation of the FX Assets, the Company’s ability to successfully achieve the anticipated benefits of the Proposed Transaction, the risk that disruptions will occur from the LOI that will harm the Company’s business; and any disruptions or threatened disruptions to relationships with the Company’s distributors, suppliers, customers and employees. All forward-looking statements speak only as of the date on which they are made and the Company undertakes no duty to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
Item 9.01 Financial Statements and Exhibits.
(d) Exhibits
| Exhibit No. | Description | |
| 99.1 | Press Release dated May 11, 2026 | |
| 104 | Cover Page Interactive Data File (Embedded within the Inline XBRL document) |
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SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
| Date: May 11, 2026 | FUNCTIONAL BRANDS INC. | |
| By: | /s/ Eric Gripentrog | |
| Name: | Eric Gripentrog | |
| Title: | Chief Executive Officer | |
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Exhibit 99.1
Functional Brands Inc. Signs Binding Letter of Intent for the Acquisition of the Assets of BullionFX | Alchemy for $142.9 million
Strategic acquisition of BullionFX | Alchemy assets is expected to position MEHA to develop a decentralized gold-backed financial ecosystem anchored by an auditable physical gold infrastructure
Lake Oswego, OR — May 11, 2026 — Functional Brands Inc. (NASDAQ: MEHA), (the “Company”), a leading innovator in wellness and performance products, today announced it has executed a binding Letter of Intent (“LOI”) to acquire the assets of BullionFX, including its core product Alchemy (collectively, the “BullionFX Assets”), in an all-stock transaction valued at approximately $142.9 million.
The transaction contemplated by the LOI represents a strategic asset acquisition that is expected to provide the Company with access to technology, infrastructure and intellectual property associated with the BullionFX Assets, a blockchain-based financial ecosystem designed around auditable physical gold. Upon closing and operationalization, the BullionFX Assets are expected to support the development of products and infrastructure intended to enable retail and institutional users to access gold-linked digital financial applications, including payments, above-market yield and decentralized finance functionalities.
The BullionFX Assets also include technology designed to facilitate interoperability between traditional financial systems and blockchain-based networks, including infrastructure developed on Ethereum. The acquisition of the BullionFX Assets is a natural extension of Functional Brands’ core strategy of identifying innovative products and platforms that address emerging consumer needs and create long-term value for shareholders.
The BullionFX Assets offer a comprehensive DeFi ecosystem in which every unit of digital value is directly tied to auditable physical gold held by independent custodians. The platform’s architecture supports gold and USD backed stablecoins, lending and borrowing protocols, yield products, and cross-chain interoperability; all underpinned by real-time attestation of gold reserves through third-party institutional grade audit mechanisms.
“This transaction will be transformational for Functional Brands and our shareholders,” said Eric Gripentrog, CEO of Functional Brands Inc. “The BullionFX Assets are expected to enable us to create what we believe is the most credible bridge between physical gold markets and decentralized finance. A fully auditable, real collateral with a protocol designed for institutional and retail participants alike. We are proud to formalize our commitment to bring this ecosystem into the public markets.”
Stephen Moss, creator and developer of the BullionFX Assets commented, “Bringing Alchemy to the Nasdaq will provide market access and institutional credibility our platform needs to accelerate its mission: delivering a stable, transparent financial ecosystem to retail users while bridging traditional and decentralized financial products. This convergence allows institutions to offer competitive products that the traditional sector alone cannot provide, as we enter a new era of financial innovation. We look forward to working with the MEHA management team to utilize the BullionFX Assets to launch a number of leading institutional products — including high-yielding exchange-traded funds denominated in gold and USD, and a USD stablecoin backed by physical gold, free from the counterparty risk inherent in holding USD within the centralized banking system..”
Simon Rahme, co-creator and developer expanded, “Every major financial ecosystem requires a stable foundation. Blockchain has had the infrastructure — what it has lacked is the right asset to build on. Alchemy's blockchain has been built to run on $GOLD — physical metal, vaulted and audited — giving developers and institutions a settlement layer with five thousand years of monetary validation behind it.”
Under the terms of the binding LOI, the parties have agreed to work expeditiously toward definitive agreements, with final terms subject to completion of due diligence, regulatory review, approval by the respective boards of directors and other customary closing conditions. The $142.9 million valuation reflects BullionFX’s technology infrastructure and early projected revenue from its suite of decentralized financial products.
About Functional Brands Inc. (NASDAQ: MEHA)
Functional Brands Inc. (NASDAQ: MEHA) is a health and wellness company dedicated to delivering innovative, evidence-based therapeutic solutions through its proprietary digital platform, Tru2u.health. The Company’s mission is to make clinically meaningful health optimization accessible, personalized, and scalable for every member. Functional Brands develops and distributes a curated portfolio of functional health products, peptide therapies, and telehealth services designed to support metabolic health, longevity, and overall wellbeing.
Contacts:
FunctionalBrands@icrinc.com
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Cautionary Note Regarding Forward Looking Statements
This news release and statements of Functional Brands’ management in connection with this news release or related events contain or may contain “forward-looking statements” within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. In this context, forward-looking statements mean statements (including statements related to the closing, and the anticipated benefits to the Company, of the private placement described herein) related to future events, which may impact our expected future business and financial performance, and often contain words such as “expects,” “anticipates,” “intends,” “plans,” “believes,” “potential,” “will,” “should,” “could,” “would,” “optimistic” or “may” and other words of similar meaning. These forward-looking statements are based on information available to us as of the date of this news release and represent management’s current views and assumptions. Forward-looking statements are not guarantees of future performance, events or results and involve significant known and unknown risks, uncertainties and other factors which may be beyond our control.
Important factors that may cause actual results and outcomes to differ materially from those contained in such forward-looking statements include, without limitation, the ability of the parties to negotiate final terms of a definitive acquisition agreement, the closing of the contemplated asset purchase agreement, including expected conditions to closing which are anticipated to include regulatory approvals, valuations, and future shareholder approvals; the occurrence of any event, change or other circumstances that could give rise to the right of one or both of the Company or BullionFX (collectively, the “LOI Parties”) to terminate the LOI agreement; the effect of such termination; the outcome of any legal proceedings that may be instituted against LOI Parties or their respective directors or officers; the ability to obtain regulatory and other approvals and meet other closing conditions for the asset acquisition on a timely basis or at all, including the risk that any regulatory and other approvals required may not obtained on a timely basis or at all, or are obtained subject to conditions that are not anticipated or that could adversely affect the combined company or the expected benefits of the transaction; the ability to obtain any necessary approval by the Company’s stockholders on the expected schedule of the transactions contemplated by the LOI; difficulties and delays in integrating BullionFX’s assets in the Company; prevailing economic, market, regulatory or business conditions, or changes in such conditions, negatively affecting the parties; potential adverse reactions or changes to business relationships resulting from the announcement of the LOI and future expected acquisition; uncertainty as to the long-term value of the common stock of the Company following the acquisition; the significant dilution to the Company’s stockholder in connection with the acquisition; the continued availability of capital and financing following the potential acquisition transaction; the business, economic and political conditions in the markets in which the LOI Parties operate; and the fact that the Company’s reported earnings and financial position may be adversely affected by tax and other factors.
Readers are cautioned not to place undue reliance on these forward-looking statements, which apply only as of the date of this news release. Potential investors should review Functional Brands’ Registration Statement filed with the SEC on Form S-1 on October 16, 2025 and the Company’s Annual Report on Form 10-K filed with the SEC on March 27, 2026 for more complete information, including the risk factors that may affect future results, which are available for review at www.sec.gov. Accordingly, forward-looking statements should not be relied upon as a predictor of actual results. We do not undertake to update our forward-looking statements to reflect events or circumstances that may arise after the date of this news release, except as required by law.
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