MINNEAPOLIS – PepsiAmericas, Inc. and PepsiCo announced Thursday that they will jointly acquire 80 percent of Ukrainian juice company Sandora LLC.
The $542 million acquisition will provide a growth opportunity for PepsiAmericas and PepsiCo in the emerging Ukrainian market.
“We’re excited to extend our strong partnership with PepsiCo to create a new model for beverage growth in Ukraine,” said Robert C. Pohlad, Chairman and CEO of PepsiAmericas. “We have a clear strategy to grow through the expansion of our international business and Sandora is a great fit. It provides immediate scale in a high growth market and a strong business platform to leverage and expand into other categories.”
Under the terms of the acquisition, PepsiAmericas will manage the day-to-day operations of the business and PepsiCo will oversee the brand development.
The joint venture expects to acquire the remaining 20 percent interest in Sandora in November 2007.
The transaction is expected to close in the third quarter of 2007.