Jefferies positive on Pepsi deal for poppi, sees lower odds of Celsius buyout

After Pepsi (PEP) announced it is acquiring poppi – a fast-growing functional soda that combines prebiotics, fruit juice, and apple cider vinegar – for $1.95B, Jefferies said the firm is “positive on the deal,” which increases exposure to fast-growing modern soda and is part of a broader set of acquisitions that have revamped the portfolio. However, the deal lowers the likelihood of a Celsius (CELH) buyout and also supports the firm’s view that there are benefits of keeping Alani Nu with AB InBev (BUD), added the analyst, who maintains a Hold rating and $170 price target on PepsiCo shares.