Beyond Meat and PepsiCo have formed a joint venture to create, produce and market snacks and drinks with plant-based substitutes, Report informs referring to CNBC.
Operations will be managed through a limited liability corporation called The PLANeT Partnership. Financial terms were not disclosed.
Beyond Meat controls about 13 percent of the meat alternatives category in the US.
The partnership also helps Pepsi work toward its sustainability goals. Last year, the company signed the United Nations’ pledge, committing to set science-based emissions reduction targets. In recent years, Pepsi also has been trying to cut down the amount of sugar in its products and add healthier snacks and drinks to its portfolio.
After the impending deal’s announcement, both companies’ shares rose in value: PepsiCo - by 1 percent, Beyond Meat - by 16 percent. Both companies saw sales growth in the past year despite the coronavirus pandemic.