PepsiCo buys SodaStream for $3.2 billion

PepsiCo is buying Israeli seltzer-maker SodaStream in a deal valued at $3.2 billion, the New York beverage and snack maker said Monday.

The move may be PepsiCo’s biggest single move away from the stagnant soda sector and comes as the Purchase, NY, company attempts to bolster its array of “healthy” drink options.

The all-cash deal was unanimously approved by the boards of both companies.

SodaStream, founded in 1903 by London gin distiller W&A Gilbey, sells machines that allow users turn tap water into seltzer — or, with syrups, different flavors of soda.

“PepsiCo and SodaStream are an inspired match,” said PepsiCo’s soon-to-retire Chief Executive Indra Nooyi in a statement. SodaStream will remain headquartered in Israel for at least 15 years, the companies said.

Nooyi focused on the sustainability aspect of Pepsi’s future and highlighted a shift away from single-use plastics.

The deal is expected to close by January.

“Clearly, this is all about growth,” said Ramon Laguarta, who will take over for Nooyi in October.

SodaStream will complement Pepsi’s Aquafina, Bubly and Lifewtr water brands, Laguarta said.

SodaStream has tried to sell itself several times over the past decade — including holding several rounds of talks with PepsiCo, according to Laguarta.

SodaStream’s shares have skyrocketed 85 percent this year, on the back of a 78 percent spike in 2017 — in part due to expectations of a sale.

“I am excited our team will have access to PepsiCo’s vast capabilities and resources to take us to the next level. This is great news for our consumers, employees and retail partners worldwide,” said SodaStream CEO Daniel Birnbaum.

PepsiCo shares closed down 12 cents on Monday, to $114.84. SodaStream shares gained 9.4 percent, to $142.11.