Eagle Energy

Elliot Mashford and Thierry Schmidt of Vancouver, British Columbia asked for $750,000 for 6% of Eagle Energy, a caffeine inhaler using plant-based guarana delivered via a vape-style device, priced so that 25 inhalations approximate one caffeinated beverage. The company had done just under $2 million in sales over two years but had not been profitable, citing R&D costs, faulty product, and a shift away from lower-margin convenience store retail toward online and Amazon sales, where margins run 50% to 70%. The founders and angel investors, who hold the remaining 55% after the founders' 45%, closed a financing round three months earlier at an $11.5 million pre-money valuation, implying a $12.5 million post-money valuation.

All five Dragons declined to invest. Jim Treliving said he was not convinced the world needed the product. Manjit Minhas and Lane Merrifield raised concerns about the health impact and the lack of research on vaping. Michele Romanow felt the regulatory complexity was too much for the equity on offer. Vincenzo Guzzo said too many existing shareholders made it hard to know what role he would play, and Arlene Dickinson objected to the valuation. No deal was made.

Eagle Energy appears to have closed. Its products may no longer be available.