Here's the latest CPG news happening right now on February 23rd, 2025 including Celsius Acquires Alani Nu / Hiyo Investment/Coca-Cola Takes on Olipop and Poppi

Celsius Holdings said on Thursday it would buy health and wellness drinks brand Alani Nutrition in a $1.8 billion deal through a combination of cash and stock, boosting its portfolio to build on the growing demand for sports and energy beverages.

Alani Nutrition, a female-focused brand that delivers functional beverages and wellness products, was founded in 2018 and will be acquired from its co-founders, Katy Schneider and Haydn Schneider, and its operator, Congo Brands, Celsius said.According to Yahoo Finance:

The venture capital arm of Constellation Brands has acquired a minority stake in Hiyo, a nonalcoholic “social tonic” containing a blend of functional ingredients, including adaptogens, nootropics and botanicals.

Constellation’s senior vice president of new business ventures, John Utter, said in a statement the Hiyo investment aligns with the aims of beverage giant’s VC group, which is to capitalize on emerging categories.

The Modelo brewer’s investment could help the brewer expand its presence in the growing category. Hiyo’s health halo could also help it stand out in the crowded ready-to-drink category, as consumers seek out beverages that give them more of a nutritious benefit.Posted on CNBC: Starting in late February, consumers on the West Coast and in the Southeast will be able to try Coke’s iteration of the trendy drink.

Soda consumption has broadly fallen in the U.S. over the last two decades, hurt by health concerns and an increase in alternatives on the market, from cold brew to energy drinks to water. But in the last five years, sodas containing prebiotics have taken off, thanks to industry newcomers Olipop and Poppi.

Olipop recently raised $50 million at a valuation of $1.85 billion, the company announced Wednesday. And Poppi made its second straight Super Bowl appearance in this year’s game, shelling out up to $8 million to reach the game’s record audience.

Digestive health soft drinks have grown from a $197 million category in the U.S. in 2020 to one of roughly $440 million in 2024, according to Euromonitor International data. Still, it’s a fraction of the overall soda market, which is worth billions of dollars.

Simply Pop’s first product lineup leans fruity, in a nod to Coke’s Simply juice brand. Flavors include pineapple mango, lime, strawberry, fruit punch and citrus punch.

“We went out and really listened to consumers. They love this space, they’re really looking for stuff that tastes good, and that’s something we know how to deliver on at Simply and at Coke,” said Becca Kerr, CEO of Coke’s North American nutrition unit, which includes its Simply and Fairlife brands.

Simply Pop drinks have no added sugar and contain 25% to 30% real fruit juice, the company said. They also contain vitamin C and zinc, which can boost the immune system.