Three cheers for cheers

Houston hangover pill startup seen on Shark Tank rebrands following multimillion-dollar raise

On his failed investor attempt on Shark Tank, Brooks Powell couldn't secure a shark investment for $400,000. Now, he just closed on $2.1 million for his startup. Courtesy of Cheers

When Brooks Powell's Houston-based startup got passed over by the investors on Shark Tank last year, he didn't let it deter him. Instead, the Houston entrepreneur buckled down and started seeking investments off the screen.

It paid off, and Cheers (née Thrive+) recently closed a $2.1 million seed round. The round was lead by NextView Ventures, which has the likes of TaskRabbit, threadUP, and Letgo among its portfolio.

With the new investment, Brooks says the company is rebranding from Thrive, its original moniker, to Cheers.

"Thrive+ doesn't really say anything about what we did or who we are about," Powell says. "We knew we needed something fitting for the alcohol industry but at the same time has the connotation of fun, responsibility, and health."

The process has been daunting, but worth it, Powell says, citing companies like Ring, which changed its company name from Doorbot.

"It would be hard to imagine Amazon buying a company named Doorbot," Powell says.

It's worth noting that Doorbot rebranded also following a similar rejection on Shark Tank.

Once Cheers had its new name, Powell began the process of the transition — relabeling bottles, redoing marketing materials, etc. There's still a long road ahead for the rebranding, but Powell says he wasn't going to drag his feet, since the change would just become more expensive and more challenging. Ring, for instance, had to pay $1 million for its new domain name.

"We wanted to become Cheers as soon as possible, because it would only become harder as time went on," he says.

From student to CEO
Cheers' formula isn't new. The key ingredient, Dihydromyricetin, a natural extract — like caffeine to coffee, which made the FDA process smooth sailing. DHM started being identified as an anti-alcohol treatment in 2012 following experiments on the effects on rats.

Around that time, Powell was a sophomore at Princeton University, and he came across the science surrounding DHM and knew if he could harness the natural extract for commercial use, it'd change the game of hangover health.

"I started working with some of my professors and asking them if it was safe and would it be effective," Powell says.

At the time, there was very little amount of DHM in the United States, so the company became the first to import the ingredient on a large scale.

Powell graduated from Princeton in 2017 and moved his company to its workspace in The Cannon.

Serving up growth
Cheers has seen a tremendous amount of growth over the past year. The company's revenue increased 20 times year over year. A key determiner of success for the company, Powell says, has been strategic marketing and a working product.

"Primarily products such as this, historically, have never worked," he says. "And they've always been marketing toward binge drinkers and partiers."

Another strategy Powell has is giving the company a presence nationwide by having advisers and investors from both coasts.

"What we have tried to do is have our cake and eat it too. We set roots in Houston, but we have our hands in other markets."

In addition to rebranding, Cheers plans to continue its growth, as well as research and development of the product.

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A research team housed out of the newly launched Rice Biotech Launch Pad received funding to scale tech that could slash cancer deaths in half. Photo via Rice University

A research funding agency has deployed capital into a team at Rice University that's working to develop a technology that could cut cancer-related deaths in half.

Rice researchers received $45 million from the National Institutes of Health's Advanced Research Projects Agency for Health, or ARPA-H, to scale up development of a sense-and-respond implant technology. Rice bioengineer Omid Veiseh leads the team developing the technology as principal investigator.

“Instead of tethering patients to hospital beds, IV bags and external monitors, we’ll use a minimally invasive procedure to implant a small device that continuously monitors their cancer and adjusts their immunotherapy dose in real time,” he says in a news release. “This kind of ‘closed-loop therapy’ has been used for managing diabetes, where you have a glucose monitor that continuously talks to an insulin pump. But for cancer immunotherapy, it’s revolutionary.”

Joining Veiseh on the 19-person research project named THOR, which stands for “targeted hybrid oncotherapeutic regulation,” is Amir Jazaeri, co-PI and professor of gynecologic oncology at the University of Texas MD Anderson Cancer Center. The device they are developing is called HAMMR, or hybrid advanced molecular manufacturing regulator.

“Cancer cells are continually evolving and adapting to therapy. However, currently available diagnostic tools, including radiologic tests, blood assays and biopsies, provide very infrequent and limited snapshots of this dynamic process," Jazaeri adds. "As a result, today’s therapies treat cancer as if it were a static disease. We believe THOR could transform the status quo by providing real-time data from the tumor environment that can in turn guide more effective and tumor-informed novel therapies.”

With a national team of engineers, physicians, and experts across synthetic biology, materials science, immunology, oncology, and more, the team will receive its funding through the Rice Biotech Launch Pad, a newly launched initiative led by Veiseh that exists to help life-saving medical innovation scale quickly.

"Rice is proud to be the recipient of the second major funding award from the ARPA-H, a new funding agency established last year to support research that catalyzes health breakthroughs," Rice President Reginald DesRoches says. "The research Rice bioengineer Omid Veiseh is doing in leading this team is truly groundbreaking and could potentially save hundreds of thousands of lives each year. This is the type of research that makes a significant impact on the world.”

The initial focus of the technology will be on ovarian cancer, and this funding agreement includes a first-phase clinical trial of HAMMR for the treatment of recurrent ovarian cancer that's expected to take place in the fourth year of THOR’s multi-year project.

“The technology is broadly applicable for peritoneal cancers that affect the pancreas, liver, lungs and other organs,” Veiseh says. “The first clinical trial will focus on refractory recurrent ovarian cancer, and the benefit of that is that we have an ongoing trial for ovarian cancer with our encapsulated cytokine ‘drug factory’ technology. We'll be able to build on that experience. We have already demonstrated a unique model to go from concept to clinical trial within five years, and HAMMR is the next iteration of that approach.”

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