Benzinga | Nov 1, 2021 09:07AM EDT

Coca-Cola Acquires Remaining 85% Stake In BODYARMOR For $5.6B

* Coca-Cola Co (NYSE:KO) has acquired the remaining 85% stake in BODYARMOR, a line of sports performance and hydration beverages, for $5.6 billion in cash. In 2018, Coca-Cola initially acquired a 15% stake in BODYARMOR.

* 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.

* 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 for the brand.

* BODYARMOR will continue to be distributed by the U.S. Coca-Cola bottling system.

* 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 funded the acquisition through cash-on-hand. It held $14.9 billion in cash and equivalents as of October 1, 2021.

* Price Action: KO shares are trading higher by 0.21% at $56.49 in premarket on the last check Monday.