The Dallas-born soda brand Poppi has just sold to food and beverage giant PepsiCo, Inc. in a deal valued at nearly $2 billion.
On Monday, PepsiCo said it would purchase the prebiotic soda that has its roots in North Texas for $1.95 billion, helping expand the company’s line of healthier beverages.
Co-founder and Chief Brand Officer Allison Ellsworth crafted the original Poppi recipe a decade ago in her Dallas kitchen. Fed up with how conventional soda made her feel, Ellsworth stirred up a concoction of her own using healthy ingredients. A combination of fruit juices, apple cider vinegar, prebiotics, and sparkling water turned into what would become a billion-dollar-plus idea.
Ellsworth would eventually have a chance encounter with a Whole Foods buyer at a local farmers market who was convinced the new product was something special. Soon after, Ellsworth and her husband found themselves making a deal with Rohan Oza on the popular television series Shark Tank.
“After a bold rebrand and a fresh new name, Poppi was officially born,” reads a description of the company’s history on its website.
Consumers are increasingly seeking out carbonated beverages with a healthier profile like Poppi, which has less sugar and added prebiotics. With the recent acquisition of Poppi, beverage behemoth PepsiCo will now have a foothold in one of the top-growing carbonated drink segments in the United States.
Headquartered in Austin, Poppi has seen its market share grow considerably, now accounting for around 1% of the entire carbonated soft drinks category.
The brand now boasts 14 flavors, including versions of iconic drinks like cherry cola, grape soda, classic soda, and root beer.