© Suja
According to media reports, Coca-Cola has entered negotiations to acquire a minority stake in California-based juice maker Suja.
The beverage giant is said to be in talks to invest $90m in the company in return for an approximate 30% stake, valuing Suja at $300m. The move would help to strengthen Coca-Cola’s position in the cold pressed juice category and alleviate poor performance within its traditional carbonated beverage portfolio. It will also be seen as a way of increasing its competitiveness with PepsiCo, which operates the Naked Juice brand.
Suja has previously conducted rounds of financing that have led to leading names investing in the business. Earlier this year, Hollywood actors Jared Leto and Leonardo di Caprio were among those who helped it raise $21m’s worth of funds.
Coca-Cola’s existing juice business will be able to accommodate Suja with its distribution capacity and refrigeration infrastructure, BevNet reported on Friday.
The company’s shares were down nearly 0.5% at the end of Friday, after reports of the acquisition began to circulate.
© FoodBev Media Ltd 2024