Dr Pepper Snapple Group buys Bai Brands
Soft drink giant Dr Pepper Snapple Group has agreed to buy New Jersey’s fast-growing Bai Brands for $US1.7 billion ($A2.3 billion). Bai Brands was started in a Princeton basement in 2009 and specialises in coffee-fruit drinks.
The drink maker’s all-natural drinks are produced from coffee fruit – the antioxidant-rich outer shell of coffee beans. Dr Pepper Snapple officials say the acquisition will help the company expand into the low-kilojoule beverage market.
Bai will operate within Dr Pepper Snapple’s packaged beverages segment. Chief executive Ben Weiss will continue to lead the Bai brand, which is estimated to generate $US425 million in sales in 2017.
The deal is expected to close early next year. Bai Brands partnered with Texas-based Dr Pepper Snapple Group to expand its national distribution in 2013