PepsiCo to acquire Israel's SodaStream in a R46bn deal
INTERNATIONAL - PepsiCo is buying household drink-machine maker SodaStream in a $3.2 billion (R46bn) deal, it said on Monday, seeking an edge in health-conscious beverages as it battles chief rival Coca-Cola.
PepsiCo will acquire SodaStream, which is sold in more than 45 countries worldwide, for $144 a share in cash, representing a 10.9 percent premium to the Friday closing price of SodaStream’s US-listed stock.
PepsiCo is an American multinational food, snack, and beverage corporation headquartered in Purchase, New York, with interests in the manufacturing, marketing, and distribution of grain-based snack foods, beverages, and other products.
SodaStream, which makes machines that turn tap water into carbonated water, will help diversify PepsiCo’s portfolio of snacks and beverages. The Purchase, New York-based group will use cash on hand to fund the acquisition.
SodaStream’s Israel-listed shares will be halted for trading until its Nasdaq-listed stock opens later on Monday, the Tel Aviv Stock Exchange said in a statement.