Chill Brands Partners with RELX for UK Distribution Deal, Shares Surge 19%.

Chill Brands Group PLC shares surged 19% after announcing a distribution deal with RELX International, one of the world's largest vaping groups. The partnership will see Chill Brands roll out RELX's MaxGo reusable pod system devices across UK convenience stores. The deal is expected to deliver a "material increase in revenues" and meet consumer demand for higher-quality vaping products.

Chill Brands Group PLC shares surged 19% after announcing a significant distribution deal with RELX International, one of the world's leading vaping companies. The partnership will see Chill Brands roll out RELX's MaxGo reusable pod system devices across UK convenience stores. This strategic move is expected to deliver a "material increase in revenues" and meet growing consumer demand for higher-quality vaping products.

The deal was announced on August 1, 2025, and saw Chill Brands' shares rise 0.5 pence, or 24%, to 2.60 pence in opening European trading. The company's stock has risen 19% over the year to date. Chill Brands will supply its first stock of RELX products this month, using working capital from its existing inventory financing facility [1].

Chill Brands' Chief Executive, Callum Sommerton, stated, "This distribution agreement between Chill Brands and RELX International marks a significant milestone in our growth journey." The partnership aligns with Chill Brands' broader 2025 growth plan, which emphasizes expanding its Chill Connect division—a platform designed to support fast-moving consumer goods (FMCG) brands through sales, representation, and supply services [2].

The UK vaping market is projected to expand at a compound annual growth rate (CAGR) of 13.6% from 2025 to 2029, reaching USD 1.47 billion by 2029. By securing exclusive distribution rights for RELX's UK-compliant products, Chill Brands gains access to a well-established brand with strong regulatory alignment, a crucial factor in a market increasingly scrutinized for product safety and compliance [3].

Northern Trust Corp, which recently increased its stake in RELX by 9.2%, has also shown confidence in the company's prospects. RELX shares have seen a 0.1% increase on Wednesday, trading at $47.89 [4].

Chill Brands' strategic initiatives further amplify the value of this collaboration. The company is investing in in-house logistics to replace third-party fulfillment, aiming to reduce costs and improve efficiency as demand rises. Additionally, a £1 million convertible loan note will fund the development of compliant vaping products, marketing for its e-commerce platform (chill.com), and infrastructure upgrades [5].

The partnership with RELX introduces multiple catalysts for share price appreciation. First, the distribution deal is expected to significantly boost revenue by the end of the financial year in September 2026, leveraging RELX’s brand equity and Chill Brands’ expanding sales team. Second, the company’s focus on Chill Connect diversifies its revenue streams beyond vaping, enabling it to onboard FMCG brands in health, wellness, and tobacco alternatives. Third, the recent resumption of trading—after a 14-month suspension due to financial challenges—has been accompanied by a strategic pivot toward regulated markets, reducing exposure to volatile product categories like disposable vapes [6].

Chill Brands' ability to integrate RELX’s product portfolio with its distribution network and e-commerce platform creates a flywheel effect. The company’s targeted advertising campaigns and loyalty programs aim to enhance customer retention, while its wholesale ordering portal and expanded sales team will drive B2B growth [7].

References:

[1] https://www.marketscreener.com/news/chill-brands-shares-jump-on-deal-with-vaping-company-relx-ce7c50d2dc89f027
[2] https://www.marketbeat.com/instant-alerts/filing-northern-trust-corp-increases-stake-in-relx-plc-relx-2025-08-24/
[3] https://www.ainvest.com/news/chill-brands-strategic-distribution-deal-relx-impact-market-positioning-revenue-growth-2509/