Beyond Oil enters distribution deals with Pilpel

Executive Summary

• Beyond Oil Ltd. has entered into exclusive distribution agreements with Pilpel Hungary Kft to distribute its patented frying oil technology in Hungary, Austria, the Czech Republic, and Slovakia.
• The agreement grants Pilpel exclusive rights for an initial five-year term (through Dec. 31, 2030), contingent on meeting significant minimum purchase volumes that increase annually.
• Beyond Oil will receive an annual royalty of 5% of total sales in the territories, with Pilpel having already fulfilled its 2025 minimum commitment with an initial order of 10,800 kg.

Key Details

• Parties: Beyond Oil Ltd. (Licensor/Supplier) and Pilpel Hungary Kft (Exclusive Distributor).
• Territories: Hungary, Austria, the Czech Republic, and Slovakia.
• Term: Initial five-year term effective Sept. 4, 2025, through Dec. 31, 2030, with automatic renewal options tied to minimum purchase requirements.
• Exclusivity Scope: Exclusive rights apply to the foodservice industry within the territories; exclusivity does not apply to international or global chain customers.
• Initial Order: Pilpel placed an order for one container totaling 10,800 kilograms, fulfilling its 2025 minimum commitment.
• Annual Volume Commitments:
  • 2026 Minimum: 75,600 kg.
  • Required volumes increase significantly throughout the term to maintain exclusive rights.
• Financial Terms: Pilpel will pay Beyond Oil an annual royalty equal to 5% of total sales of the Beyond Oil product to end-user customers in the territories.
• Leadership Team: Pilpel appointed a dedicated team for the partnership:
  • Rafi Orel: Project Chief Executive Officer (30+ years experience, former President of Osem USA, CEO of Tali Grapes).
  • Regina Boros: Managing Director, Pilpel Hungary Kft (Marketing/creative professional, venture capital experience).
  • Peter Hatar: Project Manager (Former restaurant manager, expertise in strategy and food delivery models).
• Distributor Profile: Pilpel Hungary Kft is a leading fruit and vegetable wholesaler supplying over 1,000 foodservice accounts in Hungary, with an established logistics network and sales organization.

Notable Quotes

• Jonathan Or, CEO of Beyond Oil: "Pilpel's rollout of our solution across four European countries, encompassing leading companies across the food service, QSR and other industries, is a validation of our technology and our value proposition... We are excited to be partnering with a European culinary leader that prioritizes food quality, health, sustainability and safety for its valued customers..."
• Doodi Hazut, CEO of Pilpel: "Our team visited Beyond Oil's facilities in Israel, met with their leadership, engaged with long-time customers of the product and met with Fandango, Beyond Oil's exclusive distributor in Israel. Through this process, we gained a clear understanding of what it takes to be a successful Beyond Oil partner. We share the same values and are inspired to join their vision of creating healthier and more sustainable frying for people and the planet."
• Rafi Orel: "We are excited to join the Beyond oil family and believe Pilpel is well positioned to bring a sustainable long-term growth of Beyond Oil's product across our territories."