Pepsico announced Monday that it is acquiring the prebiotic soda brand based on Austin Poppi for over $ 1.6 billion.
Purchase pricing is $ 1.95 billion, but net acquisition reaches $ 1.65 billion after factoring $ 300 million in foreseen money tax benefits, for Cnbc.
Said Pepsico Charman and CEO Ramon Laguarta In a statement This concentration of poppi on health matches consumer preferences and allows Pepsico to give its customers more choice. Pepsico has other beverage brands in its portfolio, such as Mountain Dew, Gatorade and Pepsi-Cola.
“More than ever, consumers are looking for appropriate and tasteful opportunities that suit their lifestyle and respond to their growing interest in health and health,” he said.
Poppi is afraid. Photo by Eugene Gologursky/Getty Images for Pope
Poppi sodes are a MIX of fruit juices, apple cider vinegar, prebiotics and carbonated water, and the brand claims their product supports the growth of beneficial bacteria in the gut. Poppi has less sugar than traditional soda with a maximum of five grams and up to 35 calories per cans. (In comparison, a standard 12-ons Pepsi can usually contain 41 grams of sugar and 155 calories.)
Husband's wife Stephen and Allison Ellsworth established Brand as a mother drink in 2015 after experimenting with different flavors in their Dallas kitchen. They sold the product in a local farmers' market and raised $ 125,000 from family and friends to raise their beverage business.
In 2018, the couple appeared in the shark tank and withdrew the announcement of Rohan Oza, the vitamin water investor, Vita Coco and Bai. Oza offered them $ 400,000 in exchange for a 25% shares in the company. Ellsworths accepted and Oza helped the company's renewal from the mother drink to Poppi, replacing the Mother's glass bottles with bold cans and glowing poppi.
Poppi soda can Now to be found In 120 large retail sellers across SH.BA, including Target, Costco and Whole Foods, in over 36,000 seats. The brand offers 14 fragrances like ginger lime, soda Cream and Classic Cola.
However, it has not always been the quiet navigation for Poppi. A Class action lawsuit Delivered in June 2024 in California accused Poppi of false advertising of her soda's health benefits. The lawsuit claimed that customers would have to drink at least four cans of Poppi for 21 days to see some prebiotic benefit, and at that moment, the total amount of sugar in the drink would deny any positive health effects. The lawsuit is not resolved at the time of writing.
At the beginning of this year, Poppi also passed $ 16 million In a advertisement one minute Super Bowl and gave the 32 chosen influencers full -size sales cars. Marketing Stunt did not go well on social media, where clients asked why Poppi could not have donated those cars in schools or hospitals.
One of Poppi's leading competitors, Olipop, also offers lower sugar and prebiotic fiber. Olipop Hit a Estimate $ 1.85 billion In February.