PepsiCo to Aquire Siete for $1.2B, Expanding Health-Concious Food Portfolio
The deal to acquire the Mexican-America and family-owned Siete represents a changing landscape when it comes to food and beverage products, as consumers reach for healthier options
PepsiCo is acquiring Siete, a family-owned Mexican-American food brand, adding a flavorful and better-for-you product line to its massive portfolio for $1.2 billion.
Launched in 2014, the Texas-based Siete offers certified non-GMO products, with a variety of Whole30-approved, vegan, and dairy-free options spanning chips, taco shells, tortillas, beans, sauces, seasonings, grain-free cookies, and churro strips.
With ingredients such as almond flour, chickpea flour, and avocado oil, the Siete complements other health-focused brands that PepsiCo has acquired, such as Health Warrior, Off The Eaten Path, Sabra, PopCorners, and Bare.
The deal is expected to close in the first half of 2025.
“The Garza family has built a very special brand,” PepsiCo chairman and CEO Ramon Laguarta said. “Their passion for making and sharing food shines through in every Siete product, and that’s a passion we share at PepsiCo. PepsiCo believes in the spirit and authenticity of the Siete brand, and we’re excited to carry on the legacy created by the Garza family. We look forward to expanding our multicultural portfolio with these incredible products and even more consumers discovering and enjoying Siete.”
Siete Foods co-founder and CEO Miguel Garza remarked that the Mexican-American food brand is excited to embrace a new era with the food and beverage giant, bringing its inclusive, better-for-you products to more people.
“We hope this next chapter for Siete serves as inspiration for other Latino businesses, showing that it’s possible to build a thriving brand that honors our heritage and celebrates our culture,” Garza said.
The Bigger Picture
While the fitness and wellness industry is relishing a wave of health-conscious consumers, the food and beverage segment is quickly adapting to a new landscape that sees weight-loss medications curbing the appetite and desire for sugar and fat-laden snacks. A trip to Target is more likely to reveal younger consumers—particularly Gen Z—swarming the supplement aisle, willing to spend their dollars on products that support their health and well-being. For its part, Target beefed up its shelves this year with over 1,000 wellness products.
Researchers suggest that food retailers who pivot towards improving the healthiness of food and beverage products may see increased sales as consumer demand for healthier options grows. According to one paper published in 2023, consumers have a “positive willingness” to purchase foods containing reduced fat and whole grains with additional fruit and vegetables. Overall, the authors put forth that consumers value healthier food products more than their conventional counterparts and are willing to pay a premium for more nutritious options.
Sipping Towards Better Health
Beverages are also getting an overhaul as consumers reach for healthier options. Suja Life, the functional wellness brand, acquired soda brand Slice this past May with plans to reintroduce the fruit-flavored soda in 2025 with a new look and formula that the company says will feature pared-down, clean ingredients.
“We believe that choosing a healthy lifestyle shouldn’t mean giving up on flavor or enjoyment,” Suja Life CEO Maria Stipp said earlier this year. “With the acquisition of Slice, we are making it easier for consumers to choose a better-for-you beverage. We all want to feel good about what we drink while still enjoying great taste, and Slice does that while providing functional benefits and low sugar.”
Suja Organic, which offers cold-pressed, plant-based, and better-for-you drinks under the parent company Suja Life, announced a rebrand last month to address customer insights demonstrating a desire for transparency and evolving trends in the natural-healthy beverage category. In addition to launching a new “Boosted Juice” line catering to immunity, gut health, hydration, and energy, Suja Organic revamped its website, highlighting the functional benefits of its drinks.
