Atlanta-based Coca-Cola has completed its acquisition of sports drink brand BodyArmor.
Coke said Monday it paid $5.6 billion for the remaining 85% of BodyArmor. Coke originally bought a 15% stake in the BodyArmor in 2018.
With that initial investment, BodyArmor gained access to Coke’s sprawling distribution network. Coke said Monday that BodyArmor is now the No. 2 sports drink brand behind Gatorade, which is owned by Coke’s chief rival, PepsiCo.
BodyArmor was founded a decade ago by the entrepreneurs who also developed smartwater and Fuze Beverage. Basketball star Kobe Bryant was an early investor.
Coke said it will manage the BodyArmor brand as a separate business and it will continue to be based in New York.
In 2020, Coke announced it was discontinuing two of its beverages: Zico and Odwalla.
Coke first invested in ZICO in 2009 and finalized a larger acquisition of the brand in 2013.
Coca-Cola acquired Odwalla in 2001. It has been assessing Odwalla’s business for the last several years, according to a company spokesperson, who added that the decision to discontinue the brand is not directly related to the coronavirus pandemic. Health-conscious consumers are less interested in smoothies than they used to be, she explained.
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