PepsiCo South Africa has acquired the remaining 50% stake in Futurelife Health products.
PepsiCo SA currently owns 50% of Futurelife stake and seeks to own 100% of the company. The acquisition comes after eight years since buying the first 50% stake.
PepsiCo said earlier last month the South African Competition Commission recommended the conditional approval of the acquisition. The Competition Tribunal issued an order to approve the merger on 29th May 2023 after considering the commission’s recommendation.
In a statement, PepsiCo said, Futurelife was founded in 2017 by Paul Saad. The product is developed as a scientifically formulated nutritious food that contains Moducare.
“Over time, Futurelife developed a broader product range, with an emphasis on nutrition and health, based on its uniquely formulated recipes. The development of these products, and other product innovations, were partly enabled through the investment by Pioneer Foods in Futurelife in 2015.”
PepsiCo South Africa CEO Riaan Heyl in a statement, “Futurelife is an innovative brand within the cereals market, and we believe its product basket will complement our current portfolio.”
Upon the acquiring the first 50% of Futurelife shares in 2015, a condition was attached to the approval of that transaction.
The condition stated that the two companies must be administered separately from each other for the five years which the condition expired in November 2020.
Futurelife will be a wholly-owned subsidiary of Pioneer Foods.
“Upon closing the transaction, we look forward to welcoming the Futurelife employees into PepsiC,” Heyl said.
“This will also mean qualifying employees will be entitled to participate in our employee share ownership scheme, the Basumi Trust.”