WASHINGTON, Nov 1 — Coca-Cola is preparing to take full control of the sports drink group BodyArmor in a deal worth US$5.6 billion (RM23.2 billion), the Wall Street Journal reported Sunday.
Coca-Cola already holds a 30 per cent stake in the sports drink group.
The buyout, which would value BodyArmor at about US$8 billion, would see the soda giant buy the remaining 70 per cent from BodyArmor’s founders and investors, as well as a group of professional athletes who have invested in the company.
BodyArmor was backed at its founding in 2011 by basketball star Kobe Bryant, who died in a helicopter crash in early 2020 and had invested US$6 million in the company.
The Journal reported that Bryant’s estate should collect about US$400 million from the deal, citing people close to the case.
Coca-Cola declined to comment when contacted by AFP.
BodyArmor is a competitor to industry giant Gatorade, which is owned by PepsiCo, Coca-Cola’s main business rival.
BodyArmor expects sales to reach US$1.4 billion this year, compared to US$250 billion in 2018 when Coca-Cola first invested in the company. — AFP
