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Coca-Cola, listed on the New York Stock Exchange as NYSE:KO, is in the race to acquire the healthy soda brand, Poppi. The beverage giant joins a cohort of potential buyers seeking to embrace the burgeoning trend of better-for-you beverage choices, according to a Bloomberg report released on Tuesday, which drew insights from sources familiar with the developments. However, it should be noted that at this stage, no final transaction has been settled, and a deal of this nature should not be expected imminently.
Although Poppi has not publicly revealed its sales figures, the company has asserted its standing as the leading soda brand on Amazon (AMZN). Additionally, Poppi products are stocked at popular retail chains including Target (TGT), Costco (COST), Kroger (KR), and Whole Foods.
When approached for comment, a spokesperson for Coca-Cola declined to address the market rumors or speculation.
In recent times, Poppi’s status as an upcoming player in the beverage industry was further underscored as the health soda maker emerged as one of the brands that experienced the most significant surge in immediate social media traction following its advertisement during the Super Bowl. Speculations about the potential acquisition come hot on the heels of EDO’s data, which revealed that the company’s 60-second commercial, “The Future of Soda is Now,” resulted in a staggering 1561% upsurge in online engagement.
Poppi, hailing from Austin and founded by the enterprising partnership of Stephen and Allison Ellsworth in 2015, caught the eye of the public when it secured a prominent spot on the popular TV show “Shark Tank.” The company’s most recent funding endeavor, a Series B round in 2022, successfully raised an impressive $25 million. Poppi’s range of soda offerings is recognized for blending fruit juice, apple cider vinegar, and inulin prebiotics into its products.
It’s worth acknowledging that the prebiotic soda niche remains relatively compact, with ongoing debates surrounding the actual health benefits of these products. Notably, reports from the previous year suggested that both Coca-Cola (NYSE: KO) and PepsiCo (PEP) were also expressing keen interest in another prebiotic soda brand, Olipop, which is currently available in over 25,000 stores across the United States and achieved a revenue surpassing $100 million in the first half of 2023.
