PepsiCo, Inc. is all set to take a healthier sip, by buying Isreali sparkling water brand SodaStream.
Echoing the U.S. beverage industry’s upping the ante on healthier alternatives amidst consumers’ growing aversion to sugary sodas, Pepsi’s $3.2 billion deal apparently goes well with its motto of "making more nutritious products while limiting our environmental footprint" – as emphasized by CEO Indra Nooyi. Nooyi will step down and be replaced by Ramon Laguarta in October.
To be funded by cash, Pepsi’s acquisition of SodaStream now awaits the latter’s shareholder vote and certain regulatory approvals before it can formally be brought into effect. SodaStream's stock has skyrocketed more than 320% in the past two years after it rebranded itself as a sparkling water company.