“He’s so much more wonderful” – When Barbara and Kevin went into a bidding war for Jica Foods on Shark Tank

The conflict broke out during the 10th episode Aquarium for sharks season 14 when Barbara Corcoran and Kevin O’Leary battled to invest in Jica Foods. The turnip-based Mexican food company, led by Xin and Melissa Wang, sought $300,000 for a 3% equity stake. After Barbara offered $300,000 for 10% equity with pro-rata distribution, Kevin countered with 9%.

Barbara highlighted her expertise in the food industry, prompting Kevin to defend his position.

“I know what I’m doing. I’m in sales and marketing. That’s how I got rich in the first place. I know it better than anyone else. I can certainly provide the same marketing as Mr. Wonderful, who thinks he’s a lot more wonderful than he really is because he talks too much.” , Barbara stated decisively.

The Aquarium for sharks negotiations concluded with Barbara securing 6% equity plus 3% advisory equity for her $300,000 investment. By 2024, this deal has helped expand Jica Foods’ presence to 1,600 retail locations across the western United States.

The business with Jica Foods became a battleground for Barbara and Kevin Aquarium for sharks

Xin and Melissa Wang introduced Jica Foods to the market in 2015, starting with jica chips in the snack category. The initial phase brought significant financial strain, with credit card debt reaching $70,000 and their bank balance dropping to $300. Their strategic shift in 2019 moved the company towards fresh-cut jicama products, introducing wraps, sticks and specialty salsas.

The Aquarium for sharks company metrics showed significant growth after this product transition. Sales increased from $1 million in 2019 to $4 million in 2020. The momentum continued with sales of $5 million for 2021, leading to a projection of $6 million for 2022. Their market strategy included pricing with production costs from $1.85 per unit, wholesale prices from $2.99, and retail price is $4.99.

Barbara Corcoran opened negotiations with $300,000 for 10% of the equity, adding a request for pro rata distribution. Kevin O’Leary replied offering identical mutual funds while asking 9% equity, positioning itself below Barbara’s equity demand. Xin Wang suggested reducing Barbara’s stake to 5%, but she stood firm on her original request for equity.

The discussion highlighted the market value of Jica Foods and Kevin mentioned their 25x profit multiple. Shark guest Gwyneth Paltrow recognized the product’s potential, referencing jicama recipes in her published cookbook. Mark Cuban and Lori Greiner appreciated the product and decided not to present the offers.

Xin presented a revised offer of 7% equity for both Sharks. Kevin and Barbara both rejected this proposal. Negotiations changed when Xin emphasized their need for marketing and sales expertise. Kevin stated his ability to expand retail connections. Barbara confirmed this claim by highlighting her food industry network and marketing experience from previous years Aquarium for sharks investments.

Xin brought expertise in packaging and branding, while Melissa contributed quality control experience from the pharmaceutical sector. Their participation in AccelFoods, a startup accelerator program for health food companies, demonstrated their commitment to market growth.

Melissa entered the negotiations with a structured counteroffer to Barbara. Aquarium for sharks the guest investor proposed 6% equity combined with 2% advisory shares. Barbara adjusted these conditions by asking for 3% advisory shares while keeping the share capital at 6%. This change created a total equity position of 9% for Barbara’s $300,000 investment.

The deal included Barbara’s marketing support and industry connections. The deal valued Jica Foods significantly less than their initial valuation request of $10 million. Both Kevin and Barbara remained engaged until the final decision, with Barbara’s experiences in the food industry proving decisive.

Consequences of the agreement

According to the Shark Tank Blog, the closing status of the deal remained unconfirmed even six months after the episode aired. Despite this, Jica Foods has expanded its retail area to 1,600 locations. The company has secured shelf space in Whole Foods, Sprouts, Vons, Pavillions and Albertsons across the western United States.

The same media outlet reported that financial metrics show continued growth through 2024. The company’s net worth reached $5.1 million by January 2024. Their product line has expanded beyond basic jicama options to include different flavors and formats. The retail presence grew from 700 stores during the recording to more than 1,600 locations in early 2024, marking significant market expansion.

Aquarium for sharks season 16 airs on the ABC network.