Harrison, NY — Long-time soft drinks distributor PepsiCo has been reported by Reuters to be in talks to purchase All Market Inc., the owner of leading coconut brand Vita Coco. PepsiCo is offering less than the $1 billion that All Market is seeking, according to the report.
All Market owners have been seeking to sell the company, but there has not been a clarification of the subject matter and according to BevNet, PepsiCo’s EVP of communications, Jon Banner, stated in an email that the company doesn’t “comment on rumors or speculations.” All Market’s global director of corporate communications, Arthur Gallego, also had no comment regarding the alleged news. Mike Kirban, All Market’s co-founder and CEO, was unavailable for an interview with BevNet the potential acquisition.
Vita Coco, a brand typically sold in the U.S, holds a 26% share of the $2.5 billion global market for coconut water, according to Euromonitor International. PepsiCo, which owns widely known brands such as Gatorade and orange juice Tropicana, has looked to acquirements to enhance and promote its healthier offerings in the past.
With that being stated, acquiring Vita Coco would be the third time that PepsiCo has purchased a coconut water company. PepsiCo already owns and sells Naked-branded coconut water. In 2010, a substantial amount of O.N.E Coconut Water was bought by PepsiCo and then was fully acquired by them in 2012. According to the polls, O.N.E Coconut Water has not lived up to its potential. The brand falls behind Vita Coco and Coca-Cola-owned Zico.