According to the Financial Associated Press, on Monday (November 1) local time, beverage giant Coca-Cola Company announced that it has spent $5.6 billion to acquire a full controlling stake in sports drink brand BodyArmor, which is the largest acquisition in the company's history, and the transaction is valued at BodyArmor at about $8 billion.
BodyArmor's products include sports drinks, alkaline waters, and caffeinated sports drinks. According to US media reports, Lakers celebrity Kobe Bryant invested in the sports drink brand BodyArmor in 2014, when he invested $6 million, accounting for 10% of the shares, and Kobe Bryant also participated in the planning and advertising shooting of the brand, BodyArmor was able to gain a lot of attention and fame. At present, BodyArmor is in a period of rapid rise, has surpassed Coca-Cola's Powerade, and its market share is second only to Gatorade.
Goldman Sachs analyst Bonnie Herzog said data from market research firm Nielsen showed that U.S. retail stores had $8.4 billion in beverage sales over the past year, with Gatorade accounting for the vast majority of the market, with Gatorade accounting for 64 percent of sales in the four weeks to Oct. 9, BodyArmor in second place with an 18 percent market share, and Coca-Cola's Powerade sales at just 13 percent.
Coca-Cola acquired a portion of Its Armor in 2018, becoming its second-largest shareholder. In February, Coca-Cola said in a filing with the U.S. Federal Trade Commission (FTC) that it was calculating to acquire the remaining stake in BodyArmor later this year.
According to American journalist Darren Rovell, Coca-Cola took over BodyArmor for $8 billion, and after equity dilution, the Kobe family will receive $400 million in the acquisition. Kobe's wife Vanessa congratulated Kobe on a photo at Instagram.
It is worth mentioning that the time point when Coca-Cola announced the acquisition was at 8:24, and August 24 is Kobe's anniversary, and the company said that it chose to release at this time to pay tribute to Kobe Bryant, the company's shareholder.
Source: Nine Factions News Synthesis