Keurig Dr Pepper (KDP) has announced a significant acquisition in the energy beverage space, taking a 60% stake in Ghost, a fast-growing sports nutrition and energy drink company, for approximately $990 million. The deal will close in late 2024 or early 2025, with KDP slated to acquire the remaining 40% of Ghost by 2028, based on Ghost’s 2027 financial performance.
This acquisition is part of KDP’s strategy to diversify and strengthen its beverage portfolio, specifically in the high-growth energy drink sector. Ghost, founded in 2016, has gained a strong foothold in the market with its distinctive branding and wide range of products, including energy drinks, dietary supplements, and ready-to-mix powders. Ghost has seen its sales more than quadruple over the last three years, making it an attractive target for KDP’s growth-focused strategy.
KDP CEO Tim Cofer emphasized that this acquisition will enhance their position in the energy drinks market, complementing existing brands like C4 Energy. The move also aligns with KDP’s goal to evolve its portfolio toward consumer-preferred products and expand its distribution capabilities. The transition of Ghost’s distribution to KDP’s direct store delivery (DSD) network is expected to start in 2025, further boosting its market reach.
For Ghost, this partnership offers the opportunity to leverage KDP’s extensive resources and infrastructure, helping the brand scale and solidify its place in the competitive energy drink market. The company’s co-founders, Dan Lourenco and Ryan Hughes, will remain at the helm, ensuring continuity and alignment with Ghost’s original vision of becoming a long-lasting lifestyle brand.
This deal reflects a broader trend of major beverage companies investing in fast-growing niches like energy drinks, recognizing the category’s potential for long-term expansion.