Aug. 20 (UPI) -- Pepsi said Monday it will acquire in-home beverage maker SodaStream for $3.2 billion.
The acquisition has been unanimously approved by both companies boards, a PepsiCo statement said. It is subject to a SodaStream shareholder vote, but could be completed by January.
SodaStream is a device to turn tap water into sparkling water or soda, and the acquisition expands its reach to more than 200 countries and territories, the companies said.
"We are honored to be chosen as PepsiCo's beachhead for at home preparation to empower consumers around the world with additional choices," SodaStream CEO Daniel Birnbaum said. "I am excited our team will have access to PepsiCo's vast capabilities and resources to take us to the next level. This is great news for our consumers, employees and retail partners worldwide."
The decision is also in line with a Pepsi program that promotes health and wellness through environmentally friendly, cost-effective beverages, since SodaStream is marketed as a healthier alternative. Sugar and Spenda are used in equal proportion instead of high fructose corn syrup, which lowers the calorie content. It's also seen as more sustainable with reusable plastic bottles in most machines and glass carafes in some models.
"Daniel and his leadership team have built an extraordinary company," PepsiCo CEO Indra Nooyi said. "Together, we can advance our shared vision of a healthier, more-sustainable planet."
Pepsi President Ramon Laguarta will succeed Nooyi as CEO, the company said. Nooyi will remain Pepsi's board chairwoman until next year. Pepsi generated more than $63 billion in net revenue last year.
Israel-based SodaStream faced controversy four years ago for operating in the West Bank before it moved to a plant in Israel. Birnbaum said the company left the West Bank because it needed more space.