PepsiCo Buys Stake in Russian Juice Market
PepsiCo and The Pepsi Bottling Group (PBG) complete a joint acquisition of a 75.53 percent stake in Russian branded juice company JSC Lebedyansky. PepsiCo and PBG will initiate a mandatory offer for the remaining shares of Lebedyansky, in accordance with Russian law, in the near future. The acquisition does not include the company's baby food and mineral water businesses, which earlier were spun off to shareholders in a separate transaction.
"We're looking forward to building Lebedyansky's portfolio of strong, popular brands in one of the world's fastest-growing juice markets," says Michael White, PepsiCo International CEO and vice chairman of PepsiCo. "It's yet another way we're transforming our product lineup to include more beverages and foods that address the growing consumer interest in health and wellness."
Lebedyansky is the largest juice manufacturer in Russia, with an estimated market share in Russia of around 30 percent and annual revenues in 2007 of approximately $800 million from its juice business. Today, PepsiCo and its strategic bottling and distribution partner, The Pepsi Bottling Group, provide more than 7,000 jobs in Russia, and their products can be found in more than 98 percent of retail outlets across the country.
"We're looking forward to building Lebedyansky's portfolio of strong, popular brands in one of the world's fastest-growing juice markets," says Michael White, PepsiCo International CEO and vice chairman of PepsiCo. "It's yet another way we're transforming our product lineup to include more beverages and foods that address the growing consumer interest in health and wellness."
Lebedyansky is the largest juice manufacturer in Russia, with an estimated market share in Russia of around 30 percent and annual revenues in 2007 of approximately $800 million from its juice business. Today, PepsiCo and its strategic bottling and distribution partner, The Pepsi Bottling Group, provide more than 7,000 jobs in Russia, and their products can be found in more than 98 percent of retail outlets across the country.