Keurig Dr. Pepper acquires Ghost for $1B

Thur 10/24/2024

by Ellie LeTu

Source: WSJ

• Keurig’s largest acquisition since 2018

  • Keurig is paying $990M in cash for 60% of Ghost, with the remaining 40% to be purchased by 2028.

  • Keurig’s first major deal since acquiring Dr. Pepper Snapple Group in 2018.

  • The acquisition also includes an additional $250M investment in Ghost.

  • Ghost's management team will remain unchanged after the deal.

• Keurig Dr. Pepper

  • A $50B public beverage company (NASDAQ: KDP), based in Massachusetts.

  • Owns brands like Sunkist, Canada Dry, Swiss Miss, and etc.

• Ghost Energy

  • Founded in 2016 as a sports nutrition brand, transitioned into Ghost Energy in 2018.

  • Known for energy drinks and supplement powder.

  • Products are sold in 7-Eleven and Kroger stores.

• Synergies

  • The acquisition strengthens Keurig’s competitive position in the beverage industry, helping it compete with PepsiCo and Coca-Cola.

  • Capital from Keurig is used to expand Ghost’s distribution network.