NEW YORK (AP) — PepsiCo Inc. said Wednesday it is buying Amacoco Nordeste Ltda and Amacoco Sudeste Ltds, Brazil's biggest coconut water company.
Terms of the agreement were not disclosed.
It marks the company's entry into the coconut water market, a source of natural hydration popular in Brazil.
Amacoco makes the drinks Kero Coco and Trop Coco.
The agreement includes two manufacturing facilities and exclusive contracts to assure a supply of high-quality coconut water from partners with expertise in coconut planting and harvesting.
PepsiCo shares rose 36 cents to $57.27 in morning trading.