RTTNews | Nov 1, 2021 08:43AM EDT

08:43 Monday, November 1, 2021 (RTTNews.com) - Coca-Cola Co. (KO) announced Monday that it has acquired full ownership of BODYARMOR, a line of sports performance and hydration beverages that is incremental to the Coca-Cola beverage portfolio and has significant potential for long-term growth.

Coca-Cola is paying $5.6 billion in cash for the remaining 85% of the company. In 2018, Coca-Cola initially acquired a 15% stake in BODYARMOR with a path to full ownership, based on a pre-determined discount.

BODYARMOR will be managed as a separate business within Coca-Cola's North America operating unit and will continue to be based in New York. BODYARMOR will continue to be distributed by the U.S. Coca-Cola bottling system.

Under a separate consulting and transition-services agreement, the executive leadership team, including Co-founder and Chairman Mike Repole and President Brent Hastie, has agreed to continue to work to maintain the brand's successful momentum in the market.

As part of the agreement, Coca-Cola and Repole will also collaborate on the company's still beverages portfolio, including marketing, packaging and innovation strategies across multiple brands.

Coca-Cola's acquisition of BODYARMOR will be funded through cash on-hand and is consistent with an M&A and capital allocation framework that focuses on accelerating growth, expanding capabilities and driving efficiencies.

Coca-Cola pursues brands and products that are complementary to the overall portfolio and have growth opportunities for the long term.

Read the original article on RTTNews ( https://www.rttnews.com/3237800/coca-cola-acquires-remaining-85-of-bodyarmor-for-5-6-bln-in-cash-quick-facts.aspx)

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