PepsiCo has agreed to buy Poppi, a fast-growing prebiotic soda brand, for $1.95 billion. The deal includes $300 million in expected tax benefits, bringing the net price to $1.65 billion.
What is Poppi?
Poppi is a soda brand made with prebiotics, fruit juice, and apple cider vinegar. It has no more than five grams of sugar per serving. The brand quickly gained a strong following due to its health benefits and fresh flavors.
Poppi was created by Allison and Stephen Ellsworth. It gained recognition on Shark Tank and received funding from CAVU Consumer Partners.
Why is PepsiCo Buying Poppi?
- PepsiCo is expanding its healthier drink options.
- The demand for functional beverages is rising.
- Poppi has strong brand loyalty and fast sales growth.
What Happens Next?
The deal still needs regulatory approval. Some financial details have not been shared. PepsiCo worked with Centerview Partners and J.P. Morgan on the deal, while Goldman Sachs advised Poppi.
PepsiCo continues to invest in brands that align with shifting consumer preferences. Poppi’s rise proves that soda can be both tasty and good for you.
