PepsiCo to Acquire Refrigerated Dips & Spreads Brands

PepsiCo has announced an agreement to purchase the remaining 50% interest in Sabra Dipping Co. and PepsiCo-Strauss Fresh Dips & Spreads International GmbH (Obela) and become the sole owner of these companies, which make Sabra and Obela products.

Sabra and Obela are currently 50/50 joint ventures that were formed between PepsiCo and Strauss Group to manufacture, distribute, and sell refrigerated dips and spreads. The Sabra joint venture is based in New York and operates in the US and Canada. Obela is based in Geneva and operates in Australia, New Zealand, and Mexico.

PepsiCo has focused on the fresh dips category for more than 15 years, forming Sabra and Obela as 50/50 joint ventures with the Strauss Group in 2008 and 2012, respectively. Sabra has become a leading hummus brand with nearly $400 million in retail sales in the US.

This transaction will enable PepsiCo to continue to transform its portfolio and drive accelerated innovation to develop more products that meet the growing demand for positive choices from North American consumers.

“As we evolve our food portfolio and bring people more choices for more occasions, our aim is to meet the growing demand for positive choices and on-the-go options,” said Steven Williams, CEO, PepsiCo Foods North America. “Nutritious, simple foods like refrigerated dips and spreads represent a space we have long desired to expand in the US and Canada. We are grateful to the Strauss Group for our long and successful partnership and look forward to this next chapter for the Sabra and Obela brands, as well as the PepsiCo food portfolio.”

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The transaction is expected to close at the end of 2024.