Flavoured water manufacturer True Drinks Holdings has raised $3.6m to fund its growth plan for this year.

True Drinks manufactures AquaBall, a naturally flavoured water for children that does not contain sugar, preservatives, calories, or artificial flavours.

True Drinks CFO Dan Kerker said: "This financing enables True Drinks to execute our 2017 growth strategy with a focus on increasing distribution in the mainstream grocery and convenience store channels, heavily promoting the brand at retail to drive trial and brand awareness, and increasing our voice in the fight to end the trends of childhood obesity and juvenile diabetes."

True Drinks CEO Kevin Sherman said: "We are pleased that our current directors and large shareholders took over 45% of our latest capital raise, signalling confidence in our business plan and current management.

"We are pleased that our current directors and large shareholders took over 45% of our latest capital raise, signalling confidence in our business plan and current management."

"Redefining the future of innovation in the beverage space is squarely upon us, and I believe AquaBall is uniquely positioned to disrupt the children's beverage sector. We are making a difference in the lives of children by providing an option to the excessive sugary beverage offerings being marketed to children."

True Drinks has tied up with more than 70 distribution partners in 44 US states for the distribution of AquaBall, which is sold in more than 9,000 convenience and grocery stores.

The firm has a bottling agreement with Niagara Bottling, a bottled water supplier in the US.

AquaBall is currently available in four flavours, orange, grape, fruit punch and berry.