PepsiCo realigns and acquires Sandora

PepsiAmericas and PepsiCo, previously comprised of PepsiCo North America and PepsiCo International, will now be organized into three major operating units - PepsiCo Americas Foods (PAF), PepsiCo Americas Beverages (PAB), and PepsiCo International (PI).

Indra Nooyi, chairman and CEO of the company, said: "Given PepsiCo's robust growth in recent years, we are approaching a size which we can better manage as three units instead of two. Creating units that span North American and international markets, as well as developed and developing markets, allows us to better share best practices among our North America and international businesses, while providing valuable development opportunities for our senior executives. I am confident this organizational structure will help us deliver strong top-line performance and consistent double-digit profit growth in the years ahead."

Just prior to the reorganization PepsiAmericas and PepsiCo completed the joint purchase of the remaining 20% stake that they do not already own in the Ukraine juice company Sandora for a total purchase price of US$136.7 million. This follows Pepsi's planned strategy of expanding not only into Eastern Europe, but also its juice brands portfolio.

“Ukraine is a country both with fast developing economy and growing beverage market," said Kenneth E. Keiser, President and Chief Operating Officer of PepsiAmericas. Sandora will give us a great opportunity to hold leading positions in all beverage categories, and especially in juice category, where the company holds half of market share. Keiser continued, "It allows us to add such big and developing market as Ukraine to our international portfolio.

Sandora is 7 brands in more than 200 range positions, 2 modern production facilities, having growth and increase capabilities, powerful sales and distribution base, and also experience and aggressive team leadership. We look forward to working in partnership with the Sandora team, directed to our joint success creation.”

Related link:
Sandora [Ukrainian]