PepsiCo buys fizzy drinks firm SodaStream for £2.5bn


Drinks and snacks giant PepsiCo has bought Israel’s fizzy drink maker SodaStream for $3.2bn (£2.5bn).

PepsiCo, which owns brands including Tropicana, Walkers and Doritos, said it had agreed to acquire all of SodaStream’s outstanding shares at $144 (£112) each.

This represents a 32% premium to the 30-day volume weighted average price.

PepsiCo chairman and chief executive Indra Nooyi described the companies as “an inspired match”.

She said SodaStream’s products, which are marketed as a healthy alternative to sugary drinks, fit in with the US firm’s goal of “making more nutritious products while limiting our environmental footprint”.

“Together, we can advance our shared vision of a healthier, more sustainable planet,” she added.

As well as Pepsi, PepsiCo's brands include Walkers, Doritos and Tropicana
Image: As well as Pepsi, PepsiCo’s brands include Walkers, Doritos and Tropicana

Earlier this month, she announced she would be standing down as CEO in October after 12 years at the helm.

SodaStream director and chief executive Daniel Birnbaum said the deal marked “an important milestone” in the firm’s “journey”.

“It is validation of our mission to bring healthy, convenient and environmentally friendly beverage solutions to consumers around the world,” he said.

“I am excited our team will have access to PepsiCo’s vast capabilities and resources to take us to the next level.”

Earlier this month, SodaStream posted its strongest results in company history.

It reported a 31% year-over-year jump in revenues to $172m (£134m), an 89% leap in operating profit to £32m (£25m) and an 82% climb by net profit to £26m (£20m).

More from Business

Three years ago, the firm shut down its West Bank factory amid international boycott calls and opened a sprawling new factory deep in Israel’s Negev Desert instead.

Actress Scarlett Johansson was previously a brand ambassador for the company.

From – SkyNews


Comments are closed.