Pepsi Poured $3.2 Bln. Taking Over SodaStream!

PepsiCo has agreed to buy seltzer maker SodaStream in a $3.2 billion deal (100 billion baht). The Israeli company makes a machine and refillable gas cylinders that let users make their own carbonated drinks at home. This will give Pepsi a new way of reaching customers in their homes when its drinks are declining in popularity.

PepsiCo will buy SodaStream for $144 per share in cash, a 32 percent premium to the 30-day volume weighted average price. While the U.S. pre-market share of SodaStream has risen to $143.36/share, a $13.51 or 10.40% jump from $129.85/share on last Friday after the market closed.

Incoming PepsiCo President Ramon Laguarta, who will succeed Indra Nooyi on October 3, 2018 said SodaStream was “highly complementary and incremental” to Pepsi’s business. “PepsiCo is finding new ways to reach consumers beyond the bottle,” he added. If regulators approve the deal, it should be finalized by January 2019, subject to a vote by SodaStream shareholders.