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August 3, 2015 / 18 Av, 5775
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Report: PepsiCo Offered $2B for ‘Settlements’ Labeled SodaStream

If you can’t beat’em, join’em. PepsiCo is reportedly bidding $2 billion buy out the Israeli SodaStream firm. A buyout could jeopardize the factory in Maaleh Adumim because of the boycott movement.
Super Bowl 2013 ad that upset Pepsi and Coke: 
'With SodaStream, we could have saved 500 million bottles on Game Day alone.'

Super Bowl 2013 ad that upset Pepsi and Coke: 'With SodaStream, we could have saved 500 million bottles on Game Day alone.'
Photo Credit: Screenshot

With SodaStream, we could have saved 500 million bottles on Game Day alone. If you love the bubbles set them free.”

PepsiCo is negotiating with Israeli-based SodaStream to buy out the firm for $2 billion, according to the Israeli Calcalist business newspaper. SodaStream’s shares in Germany shot up nearly 20 percent after the report.

SodaStream, listed on NASDAQ, manufactures machines that make carbonated drinks from tap water and also produces flavors, carbon dioxide refills and re-usable bottles.

Officials at the two companies refused to comment on the report or were not available.

SodaStream has become a big hit in the United States, where the company “stole the show” with its commercials during the Super Bowl this year, drawing bitter complaints from carbonated beverage companies, which applied pressure to CBS for SodaStream to tone down its message  that buying carbonated beverages in plastic bottles is bad for the environment. Pepsi and Coke also did not like the idea of SodaStream making fun of their companies, and the original version of the commercial was canned but can be seen below

A buyout by PepsiCo, or possibly by Coca Cola if SodaStream wants to try for a larger purchase, could place the company’s facility in Maaleh Adumim, east of Jerusalem, in jeopardy.

Soda Stream is a favorite target of the Boycott Israel movement because of the plant’s location beyond the old borders of Israel. The rub, as Lori Lowenthal Marcus explained in an article Tuesday night, is that SodaStream’s American-born CEO Daniel Birnbaum promotes hiring and treating Palestinian Authority Arabs just like Jews.

Both Arab and Jews share the company dining hall in Maaleh Adumim, and there are facilities for both Muslim ands Jews to pray.

The Maaleh Adumim factory employs approximately 900 Arabs from Judea and Samaria. “Everyone works together – Palestinians, Russians, Jews,” a Palestinian employee named Rasim at the Maaleh Adumim site previously has been quoted as saying. “Everything is OK. I always work with Jews. Everyone works together, so of course we’re friends.”

The report of a possible buyout sent the shekel-dollar rate down approximately half a percentage point, to below 3.65 shekels to the dollar, because of the possible injection of $2 billion worth of shekels.


About the Author: Tzvi Ben Gedalyahu is a graduate in journalism and economics from The George Washington University. He has worked as a cub reporter in rural Virginia and as senior copy editor for major Canadian metropolitan dailies. Tzvi wrote for Arutz Sheva for several years before joining the Jewish Press.


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5 Responses to “Report: PepsiCo Offered $2B for ‘Settlements’ Labeled SodaStream”

  1. Just make part of the sale a requirement that the plant stays in business making the product.

  2. Gil Gilman says:

    Doesn't your heart just bleed for pepsi and coke? Those boo hoo boys want it to be known that their feelings were hurt by the very notion that plastic bottles could be bad for the environment. not to mention you…I had better hurry up and by a soda stream before pepsi buys it out and shuts it down…hey…it's been done before! right now I drink Zevia, no calories, no artificial ingredients, nothing that will kill you as with the soda giants.

  3. Dorothy Myers says:

    Don't sell out to a company which will shut down SodaStream because it competes successfully with beverages sold in cans and bottles.

  4. Michael Morgan says:

    what's up with the boycott?

  5. Michael Morgan says:

    I doubt they would shut it down. I would like to know if they would move the factory off of stolen land.

Comments are closed.

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