[an error occurred while processing this directive]
BBC News
watch One-Minute World News
Last Updated: Friday, 25 May 2007, 16:14 GMT 17:14 UK
Coca-Cola bids for healthy image
Packs of Coca-Cola being put in a van
Coca-Cola is hoping to stack up sales of health drinks
Coca-Cola has bought out New York state-based health drinks firm Glaceau for $4.1bn (2bn).

The deal, Coca-Cola's biggest ever acquisition, marks a massive investment in the market for beverages trading on a sporty lifestyle.

Glaceau will continue to operate as a stand-alone business unit of Coca-Cola, which wants the new product range to kick-start lacklustre US sales.

Coca-Cola promised that Glaceau would "create value" for its shareholders.

Global interest

Glaceau was founded in 1996 and attracted a $677m investment from Indian conglomerate Tata in 2006. That stake valued the Glaceau business at $2.2bn.

Coca-Cola has enjoyed a successful launch of its calorie-free Coke Zero in Europe earlier this year, emphasising the potential for branching away from sweeter beverages.

Glaceau presents itself as a purveyor of "responsible hydration".

Its three top executives, including CEO and founder J Darius Bikoff, will remain in place for at least three years, according to Coca-Cola.

Coke secrets plot woman is jailed
23 May 07 |  Americas
Coke bottler hit by weak US sales
27 Apr 07 |  Business
Overseas sales lift Coke's profit
17 Apr 07 |  Business
Coca-Cola 'top UK brand seller'
21 Feb 07 |  Business

The BBC is not responsible for the content of external internet sites

Has China's housing bubble burst?
How the world's oldest clove tree defied an empire
Why Royal Ballet principal Sergei Polunin quit


Americas Africa Europe Middle East South Asia Asia Pacific