The Alkaline Water Company has agreed to acquire premium water brand AQUAhydrate, claiming that the move will significantly strengthen its position in the growing bottled water category.
San Francisco-based AQUAhydrate produces a line of premium water which is infused with electrolytes and minerals and raised to an alkaline pH of over 9.
The brand is backed by celebrity investors including Mark Wahlberg, Sean ‘Diddy’ Combs and Jillian Michaels, and is sold in major retailers across the US.
According to a statement from The Alkaline Water Company, the combined revenues for the entity are expected to exceed $65 million dollars in 2020 on a pro forma basis.
The company claims that the acquisition will allow it to expand its sales in the active lifestyle space, which is AQUAhydrate’s primary sales demographic.
Alkaline also stated that its upcoming product launches will focus on CBD-infused products, due to the increased demand for functional beverages.
However, the company did state that it will not pursue the commercial production or sale of CBD-infused products “until legally permitted”.
Richard Wright, president and CEO of The Alkaline Water Company, said: “The acquisition of AQUAhydrate is an unprecedented opportunity that allows The Alkaline Water Company to cement itself as a leader in various multi-billion-dollar segments which include premium water, functional & wellness, and the CBD market.
“We believe that post-acquisition, we will attract a more diverse consumer base, offer product differentiation and innovative brand extensions to become a major independent force in the beverage sector.
“We have identified the business synergies associated with the merger that will immediately impact and reduce costs associated with operations. This allows us to accelerate our sales channels through cross-promotion of both brands based on our distinct consumer bases and distribution channels.”
Sean Combs addes: “We built AQUAhydrate from the ground up by securing deals with the largest retail grocery outlets, creating innovative partnerships and evolving the brand.
“Today, I am confident that we are creating a powerhouse by combining AQUAhydrate with one of the largest, fastest-growing alkaline water companies in the world. I look forward to this next stage of growth as we build one of the most recognisable brands for premium water.”
© FoodBev Media Ltd 2019