Britvic acquires energy drink brand
Britvic announced the completion of the acquisition of the Extra Power energy drink brand from GlobalBev following receipt of regulatory clearance.
As part of the transaction, Britvic has also agreed to acquire three additional Brazilian soft drinks brands from GlobalBev, including the energy brand Flying Horse, the juice brand Juxx and the acai smoothie brand Amazoo.
Collectively, this acquisition in Brazil enables Britvic to expand its brand portfolio and regional footprint.
Energy is the fastest growing category in the market with volume growing 17% in 2022 on the previous year and forecast to grow 20% year-on-year in 2023. Within this category, Extra Power has broad-based distribution and 42% market share in its core regions near Brasilia, while Flying Horse was the first international energy brand to enter Brazil around 20 years ago.
Juxx is a premium juice brand with added health benefits, and Amazoo is an acai-based premium smoothie. In the year to December 2022, the acquired portfolio generated R$118m of net sales, growing 26% on the previous year.
This marks an important extension of Britvic’s Brazilian operations, consistent with Britvic’s strategy to accelerate and expand its presence across Brazil. The acquisition also includes a modern, efficient warehouse in Brasilia that will enhance Britvic’s supply chain efficiency across its wider portfolio and route to market into Brazil’s Centre-West region.
Simon Litherland, Chief Executive Officer commented: “The addition of these brands to our Brazilian portfolio will accelerate our growth trajectory in one of our key markets, as well as generate value overall. In line with our strategy to expand our business and accelerate our growth in Brazil, we now have a meaningful presence in the Centre-West region, providing the opportunity to scale our existing brands into territories where we’ve historically under-indexed, while also bringing new brands into our existing market regions.”