Keurig Dr Pepper (KDP) is making waves in the energy drink sector with a $1 billion+ investment to acquire a majority stake in Ghost, a fast-growing lifestyle sports nutrition brand. Ghost’s sales have skyrocketed, more than quadrupling over the past three years, and this deal marks a major shift for KDP into the high-growth energy drink market.

The Deal Details:

• KDP will initially purchase a 60% stake in Ghost for $990 million by late 2024 or early 2025.
• The second phase involves purchasing the remaining 40% by 2028, at a valuation based on Ghost’s 2027 performance.

Why is this important? KDP is tapping into a booming sector that’s evolving beyond traditional energy drinks, aligning itself with a brand that resonates with both fitness enthusiasts and lifestyle-conscious consumers. It will be interesting to see how KDP leverages this strategic partnership to further dominate the beverage industry.