PepsiCo Increases Investment in O.N.E., One Natural Experience
With the investment, distribution of the full line of O.N.E. coconut water-based beverages will extend beyond the current predominantly warehouse distribution to include expanded DSD distribution through PepsiCo's bottling arm, Pepsi Beverages Company, in 2011.
12/9/2010 --- PepsiCo, Inc., one of the world's largest food and beverages companies, and O.N.E., the Los Angeles, Calif.-based coconut water company, announced that PepsiCo has increased its investment in O.N.E., thereby acquiring a majority stake in the company. The terms of the transaction were not disclosed. This represents a second round of investment in O.N.E. by PepsiCo and Catterton Partners, a private equity firm based in Greenwich, Conn.
"We are very excited to deepen our relationship with PepsiCo and Catterton Partners. With demand, supply, distribution, consumer education, and the capital to fuel them all lining up, we expect 2011 to be the year that coconut water goes mass market," commented O.N.E. Founder and CEO, Rodrigo Veloso.
"Coconut Water is one of the fastest growing categories in the U. S. beverage market and one in which we see a great deal of potential. Our investment in O.N.E. is an investment in the future," commented Massimo d'Amore, CEO, PepsiCo Beverages Americas. "Since we first invested in O.N.E., just over a year ago, the company has demonstrated to us that they have what it takes to succeed a great product, a strong brand, experienced leadership, deep understanding of the marketplace and robust supply."
Supply had been a limiting factor for coconut water producers in 2010, but O.N.E. has successfully addressed the issue by developing strong partnerships with three of the largest coconut processors in the world, based in the Philippines and Indonesia.
With the investment, distribution of the full line of O.N.E. coconut water-based beverages including O.N.E. Coconut Water, O.N.E. Active, and O.N.E. Kids will extend beyond the current predominantly warehouse distribution to include expanded DSD distribution through PepsiCo's bottling arm, Pepsi Beverages Company, in 2011.
