Keurig Dr Pepper Acquires Stake in Ghost Energy Drink

(Reuters) – Keurig Dr Pepper is buying a 60% stake in energy-drink maker Ghost for $990 million, with plans to purchase the rest by 2028, the companies announced on Thursday.

Ghost, established in 2016 by Dan Lourenco and Ryan Hughes as a lifestyle sports nutrition brand, will continue to be managed by its co-founders and will be part of Keurig Dr Pepper's U.S. refreshment beverages segment.

The initial purchase is anticipated to close in late 2024 or early 2025.

The demand for energy drinks in the U.S. has surged recently as consumers increasingly seek health-conscious products that enhance physical performance.

In 2018, Keurig Green Mountain and Dr Pepper Snapple Group merged in a deal exceeding $21 billion, combining brands like Green Mountain Coffee, 7UP, Snapple, and Sunkist to better compete with soda giants Coca-Cola and PepsiCo in North America.

In 2022, PepsiCo invested $550 million for an 8.5% stake in Celsius Holdings, an energy drink maker, while Keurig Dr Pepper acquired a 30% stake in Nutrabolt, the producer of C4 Energy, for $863 million.