The Story of Monster Energy Drink!

Monster Energy, the best-performing stock of the last 30 years, is not a tech company but a caffeinated sugar water company. Since its IPO in 1990, Monster Energy has grown by almost 200,000%, making it the most profitable company in the last 30 years. This sustained success is not a fluke, as four key lessons can be applied to amplify the momentum of a business. The founder of Monster Energy, Rodney Sachs, is a relatively low-profile billionaire who has focused on building the Monster brand rather than his personal brand.

Rodney, born in 1949 in Johannesburg, South Africa, studied law at a local university before moving to Southern California in 1989. He became the youngest person ever to be promoted to partner at South Africa’s largest corporate law firm and eventually became a senior partner. After years of dedication to his craft, Rodney decided to start fresh and moved to Southern California.

In 1989, Rodney noticed the global success of Red Bull, which was a working-class staple in Thailand. He saw the opportunity to produce bottled smoothies that could be sold everywhere, including gyms, convenience stores, swimming pools, and health stores. However, Rodney owned nothing in the United States, so he raised money to acquire a publicly traded shell company.

Rodney and an associate bought Hansen’s, a business established in 1935, for $14.5 million, almost double the amount they raised. The investment banker they were working with set up an LBO, or leverage buyout, to work with the bank to finance the acquisition. The…