Keurig Dr Pepper has entered a definitive agreement to acquire Ghost Lifestyle LLC and Ghost Beverages LLC, makers of the Ghost Energy drink. KDP will pay about $990 million in exchange for a 60% ownership stake in Ghost in the first stage of the transaction, with plans to buy the other 40% of the company in 2028.
Ghost is a lifestyle sports nutrition business founded in 2016. Its portfolio is anchored by Ghost Energy, a ready-to-drink energy brand. Its sales have more than quadrupled over the past three years, the companies said in a news release.
Ghost will continue to be led by its co-founders Dan Lourenco and Ryan Hughes. It will operate as part of KDP’s U.S. Refreshment Beverages segment.
“Ghost is a differentiated brand with significant growth potential, and we are excited to partner with its founders to take the business to the next level,” KDP CEO Tim Cofer said. “This acquisition strengthens our position in the attractive energy drink category, accelerating our portfolio evolution toward consumer-preferred, growth-accretive spaces through a disciplined deal structure.”
The energy segment is poised for continued long-term growth, Cofer said, which KDP expects to increasingly capture through its platform-based approach. KDP already partners with energy brands like C4 Energy, Ashoc Energy and Venom Energy.
“We could not be more excited to build the future of Ghost together with KDP. As we thought about our company’s next chapter, KDP’s track record of cultivating disruptive brands, similar challenger mindset, and shared vision for the energy category and beyond made it the right home for our brand and team. We are excited to pair KDP’s insights and capabilities with our products and people and know that together we will continue to scale and build Ghost towards our vision of a 100 year brand,” Lourenco said.
KDP will initially purchase a 60% stake in Ghost, which will be followed by the acquisition of the remaining 40% stake in 2028. The transaction is subject to closing conditions, with the initial step expected to close in late 2024 or early 2025, the companies said.
In the second stage of the transaction, KDP will purchase the outstanding 40% stake in Ghost in 2028 at a pre-negotiated valuation scale that will reflect Ghost’s 2027 financial performance, the companies said. Starting in mid-2025, KDP also expects to invest up to $250 million to transition Ghost’s existing distribution agreements ahead of beginning to sell and distribute the brand through KDP’s direct store delivery network.
KDP’s brands span the coffee, soft drinks, tea, water and juice segments and include names like Keurig, Dr Pepper, Canada Dry, Mott’s, A&W, Core Hydration, Green Mountain Coffee Roasters, 7UP and more. Its annual revenue is about $15 billion, the company said. It has headquarters in Burlington, Massachusetts, and Frisco, Texas.
Chicago-based Ghost is a lifestyle sports nutrition brand. It was built by creating a lifestyle movement that includes transparent innovative products, global distribution, key influencer partnerships and partnerships with brands like Oreo, Sour Patch Kids, Swedish Fish, Welch’s and more, the company said. It also entered the food space in 2024 with the launch of its high-protein cereals.
Members help make our journalism possible. Become a CSP member today and unlock exclusive benefits, including unlimited access to all of our content. Sign up here.