Boo Koo Beverages has merged with Captech Financial Group and also reported recent shifts in management.

The Texas-based energy drinks producer said today (7 August) that it has teamed up with financial services company Captech and will shortly be renamed Boo Koo Holdings.

Boo Koo's former president Dan Lee will take the helm of Captech, while former Boo Koo CFO Steve Ruffini will become the CFO for the combined business. The company added that, while two previous board members have resigned, it has appointed four new members to the Captech's board.

Captech said that it issued 24.7m shares of its common stock in exchange for all of the outstanding common stock of Boo Koo to execute the merger. The finance company said that it also completed a private placement of 6.25m shares of common stock at US$1.20 per share, raising about $7.5m.

Investors were given a 45-day option to purchase a further $5m of common stock at $1.20 per share. Existing Boo Koo stockholders and the private placement investors will own approximately 98.8% of the new entity, former Captech stockholders own the remaining 1.2%, said the company.

Dan Lee said: "Boo Koo has already shown success in the rapidly growing energy drink category, and the completion of the private placement will enable us to accelerate our growth with our expanding portfolio of distributors and consumers."

Lee added: "As a publicly traded company, our objective is to continue to increase our profile with consumers and the investment community, by offering what we believe are the best tasting energy drinks available."