The purchase is the latest sig...
Keurig Dr Pepper has agreed to buy Core Nutrition LLC, a maker of bottled waters and hydration drinks, in a $525mn deal.
The purchase is the latest sign that beverage companies are looking beyond sugary soft drinks.
Founded in 2015, Core Nutrition’s portfolio includes Core Hydration, a premium, nutrient-enhanced bottled water, and Core Organic, a USDA-certified organic enhanced fruit hydration drink.
Keurig Dr Pepper says that Core Nutrition has been one of the company’s ‘allied brands’ since 2016, noting that it currently manages about two-thirds of Core Nutrition’s distribution in the US.
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Bob Gamgort, CEO of Keurig Dr Pepper, said: "Core has been a valued and successful allied brand partner, and we are pleased that this on-trend beverage will become part of our owned KDP family of brands.
“Our sales and distribution capabilities have helped fuel significant growth for the Core portfolio.
“Through this transaction, we intend to realize the full growth potential for the business."
Over the past three years, net sales of all Core beverages have grown at an average annualized rate of approximately 115%.
Lance Collins, founder of Core added: "We created Core to meet the increasing desires for innovative, enhanced water offerings with functional benefits for today's modern consumer.
“KDP has been an outstanding partner for Core and I am certain that, under its ownership, Core will continue to see tremendous long-term success.
“I am a strong supporter of the KDP strategy and business model and am looking forward to being a shareholder in the company."