BANGLADESH – Keurig Dr Pepper (KDP), a leading beverage company in North America, has announced the signing of a definitive agreement for the acquisition of the non-alcoholic, ready-to-drink cocktail brand, Atypique, from Station Agro-Biotech.
The transactions to acquire the global rights to the Quebec-based company that specializes in the manufacturing and marketing of alcoholic and non-alcoholic beverages are expected to close in early Q4.
The agreement includes a multi-year collaboration between KDP and Quebec-based Station Agro-Biotech to expand Atypique’s reach.
The partnership will combine Station Agro-Biotech’s research and development expertise in the alcoholic and non-alcoholic beverage sector with KDP’s sales and distribution network.
Keurig Dr Pepper stated that the acquisition will complement KDP’s existing ready-to-drink alcohol portfolio and non-alcoholic business in Canada.
Atypique is a highly unique offering in the emerging and fast-growing non-alcohol cocktail segment, providing a range of ready-to-drink cocktails, such as margaritas, gin & tonic, and mojitos, Keurig Dr Pepper said.
In Canada, non-alcoholic cocktails grew more than 30 percent in retail dollar sales during the last year, and Atypique now has a 42 percent market share of that segment, where it is distributed, the company added.
Olivier Lemire, President of Keurig Dr Pepper Canada said; “We are excited to add this new platform to our powerful portfolio in Canada, and the global rights to Atypique provide optionality to further expand the brand’s growth potential.”
“Atypique is a great complement to our successful ready-to-drink alcohol portfolio, and we look forward to continuing innovating around this brand to drive accelerated growth.”
Jonathan Robin, President, of Station Agro-Biotech commented that this agreement represents an exceptional opportunity to work with a beverage industry leader, and Keurig Dr Pepper will bring market knowledge and strength to the Atypique brand.
The acquisition comes after KDP posted a 6.1% growth in net sales to US$3.08 billion for its first quarter, driven by “strong growth” across its packaged beverages, beverage concentrates, and Latin America beverages units.
The company recorded a 13.2% growth in net sales for its packaged beverages segment, led by Canada Dry, Dr Pepper, 7UP, A&W, Sunkist and Squirt CSDs, Mott’s, and Snapple, as well as growth in Core Hydration, Polar seltzers, Hawaiian Punch and Vita Coco.
The company’s GAAP operating income grew 51% to US$966 million, primarily reflecting KDP’s strong net sales performance in the quarter.
Meanwhile, the company’s coffee systems segment recorded net sales of US$1.09 billion, representing a decline of 4.3% on last year’s US$1.14 billion figure, caused by supply chain challenges.
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