Coca-Cola, Select Milk Producers Partner to Create Fair Oaks Farms
Will expand Core Power shake brand, opportunities for additional dairy-based beverages
ATLANTA -- The Coca-Cola Co. and Select Milk Producers Inc. have announced the acquisition of equity stakes in the newly created Fair Oaks Farms Brands LLC to drive growth and expansion of the Core Power high-protein milk shake brand and to create a portfolio of brands and products that feature the value-added nutrition of dairy.
"At The Coca-Cola Co., we strive to provide people with a wide range of beverage choices that meet every occasion and lifestyle need. This new investment led by our Venturing & Emerging Brands [VEB] group is another great example of our ambition to be the best brand, sales and customer service system in North America," said Steve Cahillane, president and CEO of Coca-Cola Refreshments.
The investment validates the potential both parties see in offering higher-quality value-added health-and-wellness beverages, the companies said.
"Our leadership in technology, innovation and sustainability within the dairy industry, combined with The Coca-Cola Co.'s brand development and distribution capabilities will enable a new portfolio of nutritional beverages with strong growth potential," said Mike McCloskey, co-founder and CEO of Select, an independent group of 87 American family farmers.
According to Steve Jones, CEO of the new Fair Oaks Farms Brands, "Our initial launch of Core Power is off to a great start, and this new partnership agreement with VEB will help us realize our vision of becoming a leading health-and-wellness company and the most trusted brand leader in dairy nutrition."
Core Power is currently distributed by Coca-Cola Refreshments and available in 26g and 20g protein versions and comes in 11.5-ounce recyclable plastic bottles. It is aseptically packaged so it can be distributed in a shelf stable environment until chilled before consumption. Its taste profiles are enhanced through the addition of natural sweeteners and flavors. All five drinks are lactose and gluten free.
Select Milk Producers was formed in 1994 by a group of large dairy producers, operating a cooperative of 87 family-owned dairies. Membership is based in three primary geographic areas: Texas, New Mexico and the Midwest. Select produces and markets more than six billion pounds of milk annually.
Fair Oaks Farms Brands is a health-and-wellness company that produces and markets premium-quality, value-added nutrition products with milk from independent American family farmers committed to sustainable and traceable agriculture. The company's flagship farm, located in Fair Oaks, Ind., is open to the public and is recognized as an innovator and leader in sustainable agriculture. Fair Oaks Farms Brands owns and operates Core Power, the high-protein milk shake, currently being distributed in select U.S. regions, with a national distribution rollout underway.
Coca-Cola is the world's largest beverage company. Led by Coca-Cola, its portfolio features 15 billion-dollar brands including Diet Coke, Fanta, Sprite, Coca-Cola Zero, vitaminwater, POWERADE, Minute Maid, Simply, Georgia and Del Valle. Globally, it is a leading provider of sparkling beverages, ready-to-drink coffees and juices and juice drinks.
VEB is a dedicated operating unit of Coca-Cola North America charged with identifying high-potential growth brands in the North American beverage space for investment or ownership by the ompany and exploring potential synergistic relationships with these investments. With direct access to the global resources and industry expertise of Coca-Cola and its system, VEB is positioned to develop emerging beverage brands to their full potential. VEB's portfolio of brands currently or has previously included FUZE, NOS, Honest Tea, Zico Coconut Water, Cascal and illy issimo.