Outdoor Voices founder says energy drink investor cost her Target deal

Boulder entrepreneur Ty Haney maintains an stake firm in that town cost her potential drink company a million deal with Target this year by overpromising and underperforming Haney launched the apparel company Outdoor Voices in A startup darling it came to raise million and was valued at million in Then it imploded forcing Haney out in and closing all of its stores A venture capital firm bought it last year and brought Haney back Meanwhile the entrepreneur has launched other companies Try Your Best a rewards undertaking for consumers who engage with brands and Joggy vigor drinks The latter was valued at million and had an -store deal with Target by late according to court filings For help fulfilling the March order Haney turned to Sinco Inc a Boulder commitment firm best known for buying an abandoned elementary school in the s and turning it into the Highland City Club an sole business and social club Sinco s CEO is Sina Simantob Sinco explained Joggy it would raise million and build a winning group to ensure a fruitful Target launch Haney wrote in a Nov court filing Sinco failed on both counts The entrepreneur accuses Simantob of appointing his personal friend with no consumer packaged goods experience as chief operating officer leading to defective barcoding and the loss of Joggy s placement in Target stores costing it million per year in revenue On fundraising Sinco raised only from outside investors contributed itself and extended then partially recalled loans nowhere near its million promise Haney s latest court filing is a response to an October lawsuit that Sinco and three investors including David Chamberlin and Susan Routt of Boulder filed against her and Joggy For its part Sinco suggests to have run Joggy almost single-handedly in the first half of this year including raising the million and fulfilling the Target order in exchange for promises of future equity shares that were spelled out in a nonbinding term sheet After Haney declined to give them those shares they sued her for securities fraud breach of contract and more Haney and Joggy intentionally or recklessly engaged in this fraudulent conduct in connection with the offer sale or purchase of a guard according to their lawsuit filed in Boulder But Haney says Sinco and Simantob are guilty of fraud This incident is the product of Sinco s overpromising underperforming and then attempting to rewrite a nonbinding term sheet after its failures caught up with it she alleges The reality is there was no binding contract Sinco did not deliver the performance it promised and Sinco s own conduct operational missteps and shifting terms caused the harm Sinco now attempts to lay at Joggy and Haney s feet according to her answer to the lawsuit Related Articles Fitness studio and spa limits hours could close location amid regulatory ambiguity Bank forecloses on office building off Leetsdale Lender seeks receiver for RedT townhomes on Denver-Aurora line Golden hotel up for auction after bankruptcy filing Cherry Hills mansion sells for M Attorneys for Sinco and other Joggy investors did not respond to requests for comment They are Rohn Robbins Doug Stevens and Justin Miller at Caplan Earnest in Boulder Haney s lawyer is Liz Froehlke with Berg Hill Greenleaf Ruscitti which is also in Boulder Read more from our partner BusinessDen Get more business news by signing up for our Market Now newsletter