GHOST Lifestyle Acquired by Keurig Dr Pepper in Landmark $1.65 Billion Deal

The World-Class Authentic Energy Drink and Lifestyle Supplement Brand Joins Forces with Beverage Giant Keurig Dr Pepper

In a monumental move that’s set to shake up the beverage and supplement industries, Keurig Dr Pepper (KDP) has announced the acquisition of GHOST, the lifestyle sports nutrition brand renowned for its authentic collaborations, innovative products, and delicious feel-good energy drinks. The deal, whose story was broken by the Wall Street Journal, valued at approximately $1.65 billion, involves a two-phase equity transfer that solidifies KDP’s position in the rapidly growing energy drink market.^[1]

In a monumental turn of events, Ghost Lifestyle has been acquired by Keurig Dr Pepper in a deal worth $1.65 Billion Dollars! Our only question is, when’s the Dr Pepper energy drink collab?!

Deal Specifics: A Two-Phase Acquisition

Under the terms of the agreement:^[1]

• Initial Investment (2024): Keurig Dr Pepper will make an initial cash investment of about $990 million to acquire a 60% ownership stake in GHOST. This transaction is expected to close by the end of 2024, pending regulatory approvals and customary closing conditions.
• Remaining Stake (2028): KDP will acquire the remaining 40% ownership stake in GHOST in 2028, completing the full acquisition of the company.

This structure values GHOST at approximately $1.65 billion (calculated as $990 million divided by 60%) although the latter 40% could be valued differently. This reflects the brand’s tremendous growth and market presence since its inception in 2016.

A New Chapter for GHOST

Founded by Dan Lourenço and Ryan Hughes, GHOST has been a trailblazer in the sports nutrition world for nearly a decade. With a unique approach that combines authentic brand collaborations and a strong community focus, GHOST has resonated with a new generation of consumers seeking transparency and authenticity.

Their product lineup spans beverages like GHOST Energy and the GHOST Hydration RTD and dietary supplements like the popular GHOST Legend Pre-Workout, now on its fourth iteration. The brand’s partnerships with iconic names such as Sour Patch Kids, Warheads, and even the Teenage Mutant Ninja Turtles have set them apart in a crowded market.

Same brand, powered by Keurig Dr. Pepper Distribution

Ghost Legend V4 is now out, with a 57% bigger tub! This article covers the major changes, including a bump to 300mg caffeine, more citrulline, and the additions of betaine, taurine, and tyrosine!

Dan and Ryan are expected to continue leading GHOST as it becomes part of KDP’s U.S. Refreshment Beverages segment, ensuring that the brand’s innovative spirit and commitment to quality remain at the forefront. We’re told that Keurig is going to seriously turn up distribution and execution, and that’s the majority of the matter.

Moving on from Anheuser Busch?

It seems that this will eventually separate from Anheuser Busch, the current distributor of Ghost Energy. Ultimately, it seems as though alcohol distribution companies can only take an energy drink so far — their partnership was clearly phenomenal for both parties. However, at some point, non-alcoholic beverages may need a different distribution system, and Ghost seems to be at that point.

What about the Supplement Formulas?!

So what does this mean for GHOST’s powdered product lines?

Keurig Dr Pepper’s interest likely centers around the booming success of GHOST Energy and the GHOST Hydration RTD drinks, so the acquisition raises questions about the future of GHOST’s dietary supplements — the pills and powders that have a dedicated following in the sports nutrition community.

Dan Lourenço returns to the PricePlow Podcast for the sixth time to discuss the Legend V4 launch, the first half of 2024, and the Ghost 100 Year Plan in Episode 143

We’re told that Keurig Dr. Pepper isn’t going to mess with the Ghost Lifestyle supplement powders nor apparel. As one would expect, they’re here for Ghost Energy can distribution, and perhaps some Hydration RTDs.

To us, this means that we can expect to see more things like what they did with Ghost Legend V4: As Dan explained to us inEpisode #143 of the PricePlow Podcast, the success of Energy allowed them to give back to the supplement community with crazy formulas that don’t need to profit as much. We’re hoping for more of this, and wishing Keurig Dr. Pepper continues letting Dan and Ryan do their thing with powders while KDP does their thing for the energy drinks.

Ultimately, given GHOST’s strong brand identity and loyal customer base, and the fact that Dan and Ryan are staying on, there’s optimism that the full product lineup will continue to thrive. We anticipate more details will emerge as the integration progresses.

Upcoming Podcast with Dan Lourenço: Stay Tuned

We’re excited to announce that we’ll be sitting down with Dan Lourenço in Las Vegas on the morning of October 31st during SupplySide West. This exclusive interview will dive into the acquisition, what it means for GHOST moving forward, and insights straight from Dan himself.

Don’t miss out—subscribe to the PricePlow Podcast to catch this pivotal conversation!

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The Journey Documented on the PricePlow Podcast

We’ve had the privilege of hosting Dan and Ryan on the PricePlow Podcast multiple times, witnessing their journey firsthand:

Dan Lourenço and Ryan Hughes of Ghost invite Team PricePlow to Chicago to launch the TMNT Collab, and talk about the future of collabs on the PricePlow Podcast

• Episode #143: Dan Lourenço #6: GHOST Legend V4 and the GHOST 100 Year Plan
• Episode #116: Dan Lourenço #5: The Meteoric Rise of GHOST Energy
• Episode #066: Dan Lourenço & Ryan Hughes #2 – GHOST x TMNT and the Future of Collabs

These conversations offer deep insights into GHOST’s innovative strategies, commitment to authenticity, and relentless pursuit of excellence.

The Burning Question: Is a Dr Pepper Collab Happening?

With GHOST’s history of epic collaborations and their new parent company’s iconic brand lineup, one can’t help but wonder: WHEN IS THE DR PEPPER COLLAB?!

The thought of a GHOST Energy or GHOST Legend Pre-Workout infused with the classic Dr Pepper flavor is enough to get fans buzzing. Come on, knowing Dan and Ryan, this simply has to happen! But we have no clue if it’ll happen – we anticipate news on potential synergies between these brands, and we’re keeping our fingers crossed for a future announcement.

Implications for the Energy Drink Market

Earlier this year, we reported that Ghost Energy became the official energy drin kof the Philadelphia Phillies and Chicago Cubs!

GHOST’s acquisition by Keurig Dr Pepper adds a new dynamic to the fiercely competitive energy drink market, which includes heavyweights like Red Bull, Monster Beverage, and Celsius Holdings. With this move:

• KDP Strengthens Its Portfolio: By acquiring GHOST, KDP enhances its position in the energy drink sector, leveraging GHOST’s innovative approach and strong market presence. KDP also invested in Nurabolt’s C4 Energy in late 2022.
• Competitive Edge: The deal allows KDP to compete more effectively against industry giants, offering unique products that appeal to a broad consumer base.
• Market Valuations: For context, Monster Beverage, which also owns Bang Energy, has a market value exceeding $50 billion, while Celsius Holdings is valued at around $7 billion. GHOST’s valuation at approximately $1.65 billion underscores its significant impact and growth potential within the industry.

A Personal Note from Mike at PricePlow

Congratulations to Dan, Ryan, and the entire team at GHOST! I still remember the phone call Dan gave me back in 2016 when he was sharing his vision for the brand. He spoke of ‘authentic collaborations,’ ‘new influencers,’ and building a brand like no other. I honestly had no clue what he was talking about at the time, but he was clearly sharp and ready to go. Watching a brand so far ahead of its time flourish and grow has been wild to see. Congrats guys!!

See our video breaking the news

Keurig Dr Pepper CEO Tim Cofer Weighs in on LinkedIn

A Bright Future Ahead

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This acquisition is not just a testament to GHOST’s remarkable growth but also a sign of the evolving landscape of the beverage and supplement industries. Authenticity, transparency, community engagement, and innovative collaborations are proving to be valuable assets in today’s market.

We extend our heartfelt congratulations to Dan, Ryan, and the entire GHOST family. Your passion and dedication have not only built an incredible brand but have also inspired countless others in the industry.

Don’t forget to tune in on October 31st for our exclusive podcast with Dan Lourenço!

Subscribe to the PricePlow Podcast on Your Favorite Service (RSS)

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