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About PepsiCo

PepsiCo offers the world's largest portfolio of billion-dollar food and beverage brands, including 19 different product lines that generate more than $1 billion in annual retail sales each. Our main businesses -- Quaker, Tropicana, Gatorade, Frito-Lay, and Pepsi Cola -- also make hundreds of other enjoyable foods and beverages that are respected household names throughout the world. With net revenues of approximately $60 billion, PepsiCo's people are united by our unique commitment to sustainable growth by investing in a healthier future for people and our planet, which we believe also means a more successful future for PepsiCo. We call this commitment Performance with Purpose: PepsiCo's promise to provide a wide range of foods and beverages for local tastes; to find innovative ways to minimize our impact on the environment, including by conserving energy and water usage, and reducing packaging volume; to provide a great workplace for our associates; and to respect, support, and invest in the local communities where we operate. For more information, please visit www.pepsico.com .

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PURCHASE, N.Y., Jan. 13, 2012 /PRNewswire/ -- PepsiCo, Inc. (NYSE: PEP) today announced that it will host an investor meeting at the Grand Hyatt New York on Thursday, February 9, 2012 at 8 a.m. EST to discuss its fourth-quarter and full-year 2011 results and business outlook. A live webcast of the event and accompanying slide presentation will be accessible through PepsiCo's website at www.pepsico.com, in the "Investors" section under "Investor Presentations."

Vested in PepsiCo.

PepsiCo is under-pressured from its investors to split up...

(not vested)

Most investors in survey back Pepsi split; Buffett opposes
04 Mar 2014 08:33
[LOS ANGELES] Investor Warren Buffett and some Wall Street fund managers are divided on activist Nelson Peltz's renewed proposal to split PepsiCo Inc's robust snacks division from its beverage business.

The packaged food and beverage industry has been dogged by lackluster demand, leading growth-seeking activist investors to demand spinoffs and deep cost cuts to "unlock" value.
...
Ref: Business Times Breaking News

PepsiCo Indra Nooyi's departure could pave way for split of snack and beverage businesses

Lauren Hirsch
August 7, 2018

"The investment bankers have been knocking on our door forever," outgoing PepsiCo CEO Indra Nooyi told analysts earlier this year when peppered about the possibility of splitting its snack business from its drink business.

With Nooyi stepping down on Oct. 3, will incoming CEO President Ramon Laguarta let them in?

Pepsi's North American beverage business, which includes Gatorade and its namesake cola, is its largest unit and has posted declining revenue as sales of carbonated drinks fall and upstart brands eat into the market share of its non-cola drinks. Its Frito-Lay snack business, meantime, is a $15.8 billion unit that has delivered 3 percent sales and 6 percent profit growth in the three years leading to February.

The differing fortunes of the two have attracted the attention of bankers, analysts and activist investor Nelson Peltz, who had a three-year run in the company in which he pushed for a split. Under Nooyi, though, the company adamantly maintained that keeping the two together gave it necessary combined leverage over retailers.

That stance may change under the company's new leadership. Laguarta, 54, is a 22-year veteran of the company, who has been president since September, overseeing global operations, corporate strategy, public policy and government affairs.

"This transition could open a wider door to Pepsi considering a variety of potential alternatives, including stepped up refranchising ... even potentially splitting up the company," wrote Bonnie Herzog, an analyst at Wells Fargo.

Pepsi has contended that owning both snacks and beverages creates a formidable opportunity to cross-promote, a capability it can highlight in events like the Superbowl when in-store displays pair its soft drinks with snacks such as its Tostitos tortilla chips and Lay's potato chips. It also gives it bargaining power in Europe, where its drinks business dwarfs its snacking offerings.

But the food and beverage giant has struggled to grow both equally.

Pepsi's beverage business last quarter dropped 1 percent, an improvement over a 2 percent fall the previous quarter. Its Frito-Lay snack business, by contrast, last quarter grew 4 percent, up from 3 percent growth the prior quarter.

More details in https://www.cnbc.com/2018/08/06/pepsico-...ck-an.html

PepsiCo to buy SodaStream for $3.2 billion

Sara Eisen
August 20, 2018

Beverage and snack giant PepsiCo announced Monday plans to acquire at-home carbonated drink-maker SodaStream for $3.2 billion.

The Purchase, New York-based company agreed to pay $144 per share in cash for SodaStream's outstanding stock, a 32 percent premium to its 30-day volume weighted average price.

The deal gives PepsiCo a new line through which it can reach customers in their homes, rather than through stores. It comes as U.S. grocers are in a state of transformation, with 70 percent of shoppers expected to buy groceries online by 2025, according to Food Marketing Institute and Nielsen. Meantime, retailers are squeezing brands on price and giving increasing shelf-space to upstart and private label brands.

"We get to play in a business — home beverages — where we don't play," PepsiCo CFO Hugh Johnston told CNBC.

With this move, PepsiCo is doubling down on its drinks business, which has struggled in North America as consumers move away from sugary, carbonated beverages. It also seemingly addresses the challenge that buying new drink brands risks cannibalizing its legacy beverages.

Tel Aviv-based SodaStream makes a machine and refillable cylinders through which users can make their own soda or carbonated water drinks.

The acquisition is one of the boldest moves that CEO Indra Nooyi has made in her 12-year tenure as CEO. Nooyi, who earlier this month announced her plans to step down, stewarded the company's shift away from sugary products and introduced healthier alternatives. She also spent years warding off pressure from activist investor Nelson Peltz, whose presence cast a close eye on dealmaking.

PepsiCo President Ramon Laguarta, 54, will succeed the 62-year-old Nooyi effective Oct. 3.

"PepsiCo is finding new ways to reach consumers beyond the bottle," Laguarta said in a statement.

More details in https://www.cnbc.com/2018/08/20/pepsico-...llion.html

PepsiCo to buy South Africa's Pioneer Food for $1.7 billion

Tanisha Heiberg
JULY 19, 2019 / 2:00 PM

JOHANNESBURG (Reuters) - PepsiCo (PEP.O) has struck a deal to buy South Africa’s Pioneer Food Group (PFGJ.J) for $1.7 billion, the companies said on Friday, lifting Pioneer’s shares and boosting a sector that has been hit by drought and tough trading conditions.

The U.S. drinks and snack group said on Friday that Pioneer’s product portfolio was complementary to its own and would help PepsiCo to expand in sub-Saharan Africa by adding manufacturing and distribution capabilities.

“Pioneer Foods forms an important part of our strategy to not only expand in South Africa, but further into sub-Saharan Africa as well,” PepsiCo Chairman and CEO Ramon Laguarta said in a statement.

PepsiCo has offered 110 rand ($7.94) per Pioneer ordinary share in what would be its second largest deal since 2010, the companies said, with the news lifting the South African company’s shares by 29.32% to more than 100 rand.

Shares in agribusiness investment company Zeder Investments (ZEDJ.J), which holds Pioneer as part of its portfolio, also rose more than 22%.

“It’s a vote of confidence in South Africa at a time when we really need it,” Pioneer CEO Tertius Carstens told Reuters.

Food producers have struggled amid a slump in retail sales as consumers cut back and dry weather hit maize and other produce.

Pioneer, which uses maize in many of its products, reported a decline in half-year earnings in May, weighed down by shortages in the staple food.

“It’s almost a signal to other overseas companies that we are open for business. If PepsiCo is willing to put money down it may lift sentiment of other foreign investors that might come looking at South Africa for bargains,” said Greg Davies, equities trader at Cratos Capital.

Pioneer, whose brands include Weet-Bix cereal, Liqui Fruit juice and Sasko bread, is the latest consumer goods firm to be the target of a buyout after South Africa’s Clover Industries (CLRJ.J), which processes products including yogurt, beverages, and olive oil, began takeover talks with a consortium of companies called Milco SA last year.

More details in https://www.reuters.com/article/us-pione...SKCN1UE0LV