• FILE - This Thursday, April 28, 2016, file photo shows bottles of Dr. Pepper on a store shelf at Quality Cash Market in Concord, N.H. Dr Pepper Snapple Group Inc. announced Tuesday, Nov. 22, 2016, the company is paying $1.7 billion for Bai Brands, a fruity drink maker that counts pop star Justin Timberlake as an investor. (AP Photo/Jim Cole, File)

    FILE - This Thursday, April 28, 2016, file photo shows bottles of Dr. Pepper on a store shelf at Quality Cash Market in Concord, N.H. Dr Pepper Snapple Group Inc. announced Tuesday, Nov. 22, 2016, the company is paying $1.7 billion for Bai Brands, a ... fruity drink maker that counts pop star Justin Timberlake as an investor. (AP Photo/Jim Cole, File) (The Associated Press)

  • FILE - This Thursday, April 28, 2016, file photo shows bottles of Dr. Pepper on a store shelf at Quality Cash Market in Concord, N.H. Dr Pepper Snapple Group Inc. announced Tuesday, Nov. 22, 2016, the company is paying $1.7 billion for Bai Brands, a fruity drink maker that counts pop star Justin Timberlake as an investor. (AP Photo/Jim Cole, File)

    FILE - This Thursday, April 28, 2016, file photo shows bottles of Dr. Pepper on a store shelf at Quality Cash Market in Concord, N.H. Dr Pepper Snapple Group Inc. announced Tuesday, Nov. 22, 2016, the company is paying $1.7 billion for Bai Brands, a ... fruity drink maker that counts pop star Justin Timberlake as an investor. (AP Photo/Jim Cole, File) (The Associated Press)

Dr Pepper lays out $1.7B for low-calorie drink maker Bai

Markets Associated Press

Dr Pepper will pay $1.7 billion for Bai Brands, a fruity drink maker that counts pop star Justin Timberlake as an investor.

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It says Bai will help the company expand into the low-calorie beverage market. Bai markets its drinks as having 5 calories, antioxidants and no artificial sweeteners.

Bai announced in October that Timberlake was an investor, but didn't provide financial details. The "SexyBack" singer said at the time that he was a fan of the drinks and would work on new flavors and marketing campaigns for the brand.

Dr Pepper Snapple Group Inc., based in Plano, Texas, expects Bai to generate about $425 million in sales next year.

The deal for the Hamilton, New Jersey, company is expected to close early next year.