PepsiCo Inc. (NASDAQ: PEP) made a big move in China over the weekend that was unrelated to the coronavirus. The food and beverage giant announced Sunday that it had agreed to buy the Chinese snack brand Be & Cheery from Haoxiangni Health Food.
Pepsi’s management has said that the acquisition was an important step in its goal to become China’s leading consumer-focused food and beverage company. Note that Be & Cheery sells snacks, including nuts and dried fruit, on Chinese e-commerce platforms.
Under the terms of the deal, Pepsi is paying roughly $705 million for Be & Cheery. The transaction is subject to a Haoziangni shareholder vote and is subject to certain regulatory approvals and customary closing conditions.
Be & Cheery was founded in 2003 and is one of the largest online snack companies in China. It reported revenues of about $711 million for the 2019 full year.
Ram Krishnan, CEO of PepsiCo Greater China, commented:
Be & Cheery adds direct-to-consumer capability, positioning us to capitalize on continued growth in e-commerce, and a local brand that is able to stretch across a broad portfolio of products, through both online and offline channels.
PepsiCo stock closed Friday at $145.85, in a 52-week range of $114.21 to $147.20. The consensus price target is $146.44. Pepsi shares were largely unmoved Monday morning, while the broad markets turned south.
The #1 Thing to Do Before You Claim Social Security (Sponsor)
Choosing the right (or wrong) time to claim Social Security can dramatically change your retirement. So, before making one of the biggest decisions of your financial life, it’s a smart idea to get an extra set of eyes on your complete financial situation.
A financial advisor can help you decide the right Social Security option for you and your family. Finding a qualified financial advisor doesn’t have to be hard. SmartAsset’s free tool matches you with up to three financial advisors who serve your area, and you can interview your advisor matches at no cost to decide which one is right for you.
Click here to match with up to 3 financial pros who would be excited to help you optimize your Social Security outcomes.
Have questions about retirement or personal finance? Email us at [email protected]!
By emailing your questions to 24/7 Wall St., you agree to have them published anonymously on a673b.bigscoots-temp.com.
By submitting your story, you understand and agree that we may use your story, or versions of it, in all media and platforms, including via third parties.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
