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Coca-Cola Now Owns 100% Of Fairlife

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Coca-Cola Now Owns 100% Of Fairlife

Coca-Cola Co (NYSE: KO) said Monday it now owns 100% of high-protein milk shake maker fairlife.

What Happened

Coca-Cola held a 42.5% stake in fairlife but is now the full owner of the maker of Core Power. The acquisition gives Coca-Cola better exposure to the fast-growing value-added dairy category in North America, the company said. Fairlife was launched in 2012 and saw its total sales grow above $500 million last year.

Fairlife's growth over the years can be attributed to new product innovation, including lactose-free, ultra-filtered milk with less sugar and more protein compared to rival brands. Coca-Cola also supported fairlife through its Minute Maid distributor system and by Coca-Cola bottlers across the U.S.

Why It's Important

Fairlife CEO Time Doelman said the company set out to "harness the power and nutrition of dairy and give people great-tasting products that provide the nutrition they are looking for." Under Coca-Cola's complete control, fairlife's innovation will continue to grow and improve "with the strength and scale" of Coca-Cola.

"Fairlife is a great example of how we're continually expanding our total beverage portfolio to bring people more of the brands they love," said Jim Dinkins, president of Coca-Cola North America.

Fairlife expanded to Canada in 2018 and will begin local production and sourcing in Ontario in the coming months. The company will also continue expanding domestic production in the U.S., including new facilities and adding new capacity to existing plants.

Related Links:

Big Growth Comes In Small Package For Coca-Cola

Morgan Stanley Met With Coca-Cola's CFO And Left Satisfied

Posted-In: beverages Dairy Fairlife food MilkNews

 

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