Coca-Cola Company has agreed to purchase a 16.7 percent stake in Monster Beverage Corporation for $2.15 billion in cash as it looks to accelerate its growth in the booming energy drink business.
As part of the deal, Coca-Cola would transfer its worldwide energy business—which includes brands like NOS, Full Throttle, Burn and Relentless—to Monster, and appoint two people to Monster’s board of directors. In exchange, Monster would issue to Coca-Cola 16.7 percent of its common stock shares and transfer its nonenergy business—including Hansen’s Natural Sodas, Peace Tea and Hubert’s Lemonade—in hopes of expanding their distribution globally.
