Pepsi Bottling Group has reached an agreement with ONE (One Natural Experience), the coconut water brand, to distribute its products in California and Florida.
Distribution in these locations will begin later this year; already, ONE has established a footprint in the small, yet developing, US coconut water market.
Private equity firm Catterton Partners, a consumer-focused investor, joined Pepsi Bottling Group in making an equity investment in ONE for undisclosed terms. Comment was not readily available.
Rodrigo Veloso, founder and chief executive of ONE, said the Pepsi Bottling Group/Catterton capital injection will help fuel growth for what he called its “fast-growing” coconut water segment.
The coconut water brand is maturing, as was signified earlier in September when ZICO LLC and Coca-Cola Co. reached an agreement that the beverage titan would invest $15 million along brand builders Suite 850 and other investors.
Pepsi Bottling Group’s investment into ONE is more significant now because the company was recently bought by Pepsi, making the soft drinks maker, through its subsidiary, a part-owner of the coconut water maker and distributor just three weeks after its primary competitor entered the market officially.