Keurig Dr Pepper to strengthen its presence in sports nutrition market with Ghost brand acquisition

USA – US soft drinks giant Keurig Dr Pepper (KDP) has announced an agreement to acquire energy drink and sports nutrition brand Ghost, further expanding its footprint in the fast-growing energy beverage sector.  

In a two-stage deal, KDP will initially acquire a 60 percent stake in Ghost for approximately US$990 million, with plans to purchase the remaining 40 percent in 2028.  

The final transaction price for the second phase will depend on Ghost’s financial performance in 2027, according to KDP. 

The acquisition is expected to close by late 2024 or early 2025 and will eventually see Ghost’s products distributed under KDP’s US Refreshment Beverages division.  

Ghost’s co-founders, Dan Lourenco and Ryan Hughes, will continue to lead the business following the transaction, bringing their expertise in sports nutrition and brand management to KDP’s expanding portfolio. 

Founded in 2016, Ghost has quickly gained traction in the energy drink sector with products marketed as lifestyle-oriented and targeting younger consumers.  

Its offerings include sugar-free energy drinks available in popular flavors like sour watermelon and orange cream, as well as special-edition beverages inspired by Sour Patch Kids candy.  

In addition to its energy drinks, Ghost produces a range of sports supplements aimed at fitness enthusiasts and e-sports users, positioning itself as a holistic lifestyle brand in the wellness space. 

CEO Tim Cofer emphasized the strategic importance of the acquisition, stating, “Ghost is a differentiated brand with significant growth potential, and we are excited to partner with its founders to take the business to the next level. This acquisition strengthens our position in the attractive energy drink category, accelerating our portfolio evolution toward consumer-preferred, growth-accretive spaces through a disciplined deal structure.” 

In the broader market, KDP has been making strides to boost its energy drink offerings. In December 2022, the company invested US$863 million for a 30 percent stake in Nutrabolt, the maker of the C4 energy drink.  

This partnership included a long-term distribution agreement, allowing KDP to broaden its reach in the energy sector.  

By mid-2025, KDP plans to allocate around US$250 million to transfer existing distribution agreements for Ghost to its own distribution network. 

KDP’s recent financial performance has shown steady growth, with third-quarter net sales rising 2.3 percent to US$3.9 billion.  

Gross profits grew slightly by 1.4 percent to US$2.1 billion, while net income rose 18.9 percent to US$616 million.  

For the first nine months of the year, KDP reported net sales of US$11.3 billion, a 3 percent increase year on year, with operating income climbing 12.4 percent to US$2.5 billion. 

Sign up to receive our email newsletters with the latest news updates and insights from Africa and the World HERE