PepsiCo deepens fight to overshadow Coca-Cola, set to buy SodaStream for $3.2 bn
Strong indications emerged Monday that leading soft drink rival to Coca-Cola; PepsiCo has concluded plans to buy SodaStream, an Israeli maker of carbonation products, for $3.2 billion.
Experts see the move by the beverage and snacks giant as a strategic inroads with in-home goods to assume world number one in the market segment after all.
It would be recalled that PepsiCo had $63 billion in revenue last year.
According to the plan, the cash deal will see PepsiCo pay $144 per share for SodaStream’s outstanding stock, a 32 percent premium over its average price of the past 30 days.
PepsiCo chair and CEO Indra Nooyi said in a statement that “SodaStream offers consumers the ability to make great-tasting beverages while reducing the amount of waste generated.”
“That focus is well-aligned with Performance with Purpose, our philosophy of making more nutritious products while limiting our environmental footprint. Together, we can advance our shared vision of a healthier, more-sustainable planet.”
Business Hilights gathered from AFP that PepsiCo says it aims to provide environmentally friendly and cost-effective products that promote health and wellness.
Ramon Laguarta, PepsiCo CEO-elect and president averred that “From breakthrough innovations like Drinkfinity to beverage dispensing technologies like Spire for food service and Aquafina water stations for workplaces and colleges, PepsiCo is finding new ways to reach consumers beyond the bottle.”
While the boards of directors of both companies have approved the deal, it is still subject to a SodaStream shareholder vote, regulatory approvals and other conditions, PepsiCo said, adding that closing was expected by January 2019.
