Boston, MA 08/21/2014 (wallstreetpr) – The Coca-Cola Company (NYSE:KO) has opted to carrying out acquisitions as one of the ways of offsetting a decline in carbonated-drinks business that has not been performing well with the emergence of more healthy beverages from the likes of Monster Beverage Corp(NASDAQ:MNST). Acquisitions have defined the giant beverage company this year having bought stakes in both Keurig Green Mountain Inc. (NASDAQ:GMCR) earlier in the year and Monster Beverage a few days back.
Past Acquisitions
Investing $2.15 billion for a 16.7% stake in Monster beverage clearly indicated that the company was more than able to carry out acquisitions in the industry as one of the ways of fending off competition and further increasing its market share. Coca-Cola Company (NYSE:KO) has a long history of forging forward with acquisitions that it deems necessary to complement its carbonated beverage stronghold.
Back in 2001 the company made its mark known by completing the acquisition of Odwalla as it sought to increase its share in fruit juices, as well as smoothies. The company’s biggest acquisition to date is Glaceau that it acquired for $4 billion as it sort to expand its wings into fortified vitamin water.
Probable Acquisitions
Analysts are already of the opinion that the recent run of acquisitions by Coca-Cola is part of a larger plan to snap up minority stakes in the industry. Reeds is one notable entity that Coca-Cola Company (NYSE:KO) may seek to poach as one of the ways of venturing into drinks made from herbs and spices and most importantly because of its all-natural approach.
Jamba, which has been expanding beyond smoothies and into freshly squeezed juice bar offerings, could be another probable acquisition for Coca-Cola. The probability of acquiring something like a Starbucks Corporation (NASDAQ:SBUX) looks unlikely considering it has a huge market cap of about $58 billion. Coca-Cola Company (NYSE:KO) may also not purchase Sodastream International Ltd (NASDAQ:SODA) because as it bought stakes in Keurig, it promised support for upcoming Keurig Cold that will be a rival to SodaStream.
