We use cookies to ensure that we give you the best experience on our website. Find out more in our Privacy & Cookie Policy. By using our website, you agree to our using of cookies.
I agree
Keurig Dr Pepper secures Nestlé Canada licensing, strengthens portfolio with GHOST acquisition
Published
CANADA – Keurig Dr Pepper Canada (KDP Canada) has entered into a long-term licensing agreement with Société des Produits Nestlé (Nestlé Canada) to manage the Nestea brand in Canada, effective January 1, 2025.
The partnership positions KDP Canada as a leader in the iced tea market, incorporating Nestea, Canada’s top-selling iced tea brand, into its expansive beverage portfolio. Nestea, known for its strong consumer loyalty and rich heritage, is set to benefit from KDP Canada’s robust distribution network and focus on innovation.
“This partnership reflects KDP Canada’s forward-thinking approach to collaboration, emphasizing our commitment to driving value through strategic partnerships and expanding our portfolio with premium beverages,” said Olivier Lemire, President of Keurig Dr Pepper Canada.
Lemire added that the collaboration will merge Nestea’s legacy with KDP Canada’s expertise in consumer-driven innovation to better serve the evolving preferences of Canadian consumers.
The partnership will emphasize enhancing Nestea’s brand image, expanding its availability, and introducing new products to drive growth in the ready-to-drink beverage market.
This agreement aligns with KDP’s broader strategic initiatives, as the company recently announced plans to acquire a majority stake in GHOST Lifestyle LLC and GHOST Beverages LLC.
GHOST, established in 2016, is a lifestyle-focused sports nutrition brand best known for its GHOST Energy drink, a leading ready-to-drink energy product.
Under the terms of the GHOST acquisition, KDP will initially acquire a 60 percent stake for approximately US$990 million, with plans to purchase the remaining 40 percent in 2028.
The acquisition is expected to close in late 2024 or early 2025, pending customary regulatory approvals.
Co-founders Dan Lourenco and Ryan Hughes will continue to lead GHOST as part of KDP’s U.S. Refreshment Beverages segment.
Upon completion, GHOST will be fully consolidated into KDP’s financial results, with the transaction anticipated to have a neutral to modestly accretive impact on adjusted earnings per share starting in 2025.
Sign up HERE to receive our email newsletters with the latest news and insights from Africa and around the world, and follow us on our WhatsApp channel for updates.
Coca-Cola Icecek to acquire Coca-Cola Bangladesh Beverages for US$130 Million
Czech government considers ban on energy drink sales to children under 15
International Breweries expands retailer training programme across Nigeria
Radico Khaitan posts 24.4% increase in Q2 profit on strong premium alcohol demand
