Dr Pepper Snapple Group to acquire Bai Brands
PLANO, Texas, and HAMILTON, N.J. — Dr Pepper Snapple Group is positioning itself to meet growing consumer demand for better-for-you beverages by agreeing to acquire Bai Brands and its portfolio of antioxidant infused beverages.
DPSG says the cash purchase price of $1.7 billion includes a tax benefit of approximately $400 million on a net present value basis and will be financed through new unsecured notes and short term commercial paper.
According to DPSG, Bai provides a strong platform to incubate and grow better-for-you beverages throughout the non-carbonated and carbonated beverage sectors. Bai is expected to generate approximately $425 million in net sales in 2017 and add an incremental $132 million to DPSG's current net sales expectation for 2017.
"We're excited to welcome Bai into our family of great brands," said Larry Young, DPS president and CEO. "In a relatively short time, Bai has carved out a leadership position in the enhanced water category and has now extended that success into other fast-growing and profitable categories. We're equally impressed with their innovation pipeline, which will continue to meet the needs of consumers seeking great tasting, low-calorie beverages with natural flavors and no artificial sweeteners."
Bai is one of the fastest growing beverage brands, offering a family of premium better-for-you beverages. The company's product portfolio spans across several high-growth beverage categories including enhanced water, carbonated flavored water, coconut water and premium ready-to-drink teas. With its Bai, Bai Bubbles, Cocofusion and other innovative brands, Bai is positioned for expanding growth in key beverage segments.
Bai will operate within the Packaged Beverages segment and continue to be led by founder Ben Weiss.
The transaction, which is subject to customary closing conditions, is expected to close in the first quarter of 2017.
CandyRific debuts new Trolls treats for the candy aisle
ATLANTA — CandyRific has expanded its DreamWorks Animation collection by adding products related to the smash hit movie Trolls.
Hug Bands, available in two colors, pink and blue, have a hidden compartment to keep your candy and plays a tune when the button is pressed.
The SRP for each Trolls Hug Band is $4.99. They ship in two, 12-count displays per case and mixed case.
CandyRific sells candy and novelty product combinations utilizing popular licensed brands. All products are merchandised in colorful displays and are especially popular with collectors. The company has distribution with most of the major retailers in the U.S.
Anheuser-Busch brews bold cherry cola
ST. LOUIS — Anheuser-Busch recently launched Best Damn Cherry Cola, the second national offering from Best Damn Brewing Co. According to the company, Best Damn Cherry Cola is aged on whole cherries after brewing for a harder take on the timeless taste of cherry cola. “Best Damn Cherry Cola continues to build our portfolio of bold, approachable and down-to-earth beers,” said Rash-mi Patel, VP share of throat, Anheuser-Busch. “We named our cherry cola mission, ‘Put a Cherry on Tap,’ and our brewmasters have outdone themselves with this new brew: a delicious combination of cherry, caramel and cola notes.” Best Damn Cherry Cola is available now at bars, clubs and restaurants, as well as retail stores across the United States in six-packs of bottles, 16-oz. cans and on draught. The six-pack of bottles has a suggested retail price of $11.99.
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