Pepsi to sell Tropicana, Naked and other juice brands

Pepsi wants to focus on healthier snacks and zero-calorie beverages

Pepsi is selling Tropicana, Naked and other North American juice brands to private equity while still keeping its foot in " its best-in-class" brands. 

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The deal, with PAI Partners, will net $3.3 billion while Pepsi retains a 39% noncontrolling interest in a newly formed joint venture. 

The deal clears the way for the beverage giant to focus on healthier food and drinks.

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"In addition, it will free us to concentrate on our current portfolio of diverse offerings, including growing our portfolio of healthier snacks, zero-calorie beverages, and products like SodaStream which are focused on being better for people and the planet," PepsiCo Chairman and CEO Ramon Laguarta said in a statement. 

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In the past several years, Pepsi has seen customers gravitate to healthier options a move Pepsi CFO and vice chairman Hugh Johnston explained in an interview with FOX Business earlier this year. 

"If you look at our beverage business overall a lot of the growth is coming from low to no sugar products. Bubly is essentially a product that we created with terrific flavors, sparkling water and really I think cute and effective marketing which appeals to a broad base of consumers. That business has kind of gone from nothing to a multi $100 million business and Gatorade Zero has exploded on us" he said.