Britvic plc announced its new acquisition, the Extra Power energy drink brand in Brazil. This new acquisition will be a major step in its strategy to increase its presence in the country. This performance marks an important step in Britvic’s strategy to accelerate and expand its presence throughout Brazil.
Currently, Extra Power has gained 42% of the market share in the states near Brasilia, which represents a growing and profitable investment. Part of the purchase includes a modern warehouse in the same city that will help improve Britvic’s product distribution in that region. By December 2022, net sales had already reached the equivalent of R$118 million, 26% more than in the previous year.
The company’s ceo, Simon Litherland, added, “I am delighted with this acquisition, which enables us to enter the highest-margin energy category in Brazil. In line with our strategy to accelerate and expand our presence in the country, we will enter a growing category, expand our regional presence and offer efficiencies in our supply chain. I am confident that this acquisition will accelerate our growth trajectory in one of our key markets and generate great value for our business.”
In addition, this purchase gives Britvic a significant presence in the Midwest region (Distrito Federal and Goiás), providing the opportunity to scale its existing brands in a region where the business has historically under-indexed, as well as bring the acquired brand into Britvic’s existing footprint.
The Britvic firm established itself in the Brazilian market in 2015 by taking over Ebba, after which they would follow up with the purchase of Bela Ischia a couple of years later. In recent times, the brand has managed to stand out thanks to innovation with products such as Maguary, Dafruta and Bela Ischia, which are well known in the country.
The Maguary brand heritage dates back to 1953 and, like European brands of flavor concentrates, is consumed by families at home. This family heritage and awareness allowed Fruit Shoot to launch in Brazil as Maguary Fruit Shoot, following the same principle that Britvic has followed in Europe, where Robinsons and Teisseire are the halo brands. More recently, the local team has expanded the brand’s presence by launching a plant-based chocolate drink. New category launches in recent years have included Puro Coco and Natural Tea, both ready-to-drink formats in the coconut and iced tea categories. Portfolio expansion continued in 2020.
