PepsiCo buys Chinese snack brand for US$705mil


  • Business
  • Tuesday, 25 Feb 2020

BEIJING: PepsiCo Inc has agreed to buy Chinese snack brand Be & Cheery from local jujube maker Haoxiangni Health Food Co Ltd for US$705mil, the companies said.

The US multinational food and beverage maker said the acquisition of Be & Cheery, which sells snacks from nuts to dried fruits mainly on Chinese e-commerce platforms, was an important step in its goal to become China’s leading consumer-focused food and beverage company.

“Be & Cheery adds direct-to-consumer capability, positioning us to capitalise on continued growth in e-commerce, and a local brand that is able to stretch across a broad portfolio of products, through both online and offline channels, ” Ram Krishnan, CEO of PepsiCo Greater China, said in a statement.

“We also expect to leverage Be & Cheery’s innovation and consumer insights capabilities to drive innovation in other key PepsiCo growth markets.”

Haoxiangni, which is based in Zhengzhou, Henan Province, said in a separate filing that it had decided to sell as it wanted to focus on the jujube business.

Founded in 2003, Be & Cheery is one of the largest online snack companies in China and reported revenues of about 5 billion yuan (US$711.7mil) in 2019, the companies said. — Reuters

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