PepsiCo announced its agreement to acquire the remaining 50% interest in Sabra Dipping Company and PepsiCo-Strauss Fresh Dips & Spreads International GmbH (Obela) and become the sole owner of these companies, which make Sabra and Obela products.
Sabra and Obela are currently 50/50 joint ventures that was formed between PepsiCo and Strauss Group to manufacture, distribute, and sell refrigerated dips and spreads. And the Sabra joint venture is based in New York and operates in the U.S. and Canada. The Obela joint venture is based in Geneva and operates in Australia, New Zealand and Mexico.
PepsiCo has been focused on the fresh dips category for over 15 years, forming Sabra and Obela as 50/50 joint ventures with the Strauss Group in 2008 and 2012, respectively. And Sabra has become a leading hummus brand with nearly $400 million in retail sales in the U.S.
This deal will enable PepsiCo to continue to transform its portfolio and drive accelerated innovation to develop more products that meet the growing demand for positive choices from North American consumers.
The deal are subject to customary closing conditions and are expected to close by the end of 2024. Additional terms of the acquisitions were not disclosed.
KEY QUOTE:
“As we evolve our food portfolio and bring people more choices for more occasions, our aim is to meet the growing demand for positive choices and on-the-go options. Nutritious, simple foods like refrigerated dips and spreads represent a space we have long desired to expand in the U.S. and Canada. We are grateful to the Strauss Group for our long and successful partnership and look forward to this next chapter for the Sabra and Obela brands, as well as the PepsiCo food portfolio.”
– Steven Williams, Chief Executive Officer, PepsiCo Foods North America
