PepsiCo is finally wading into the market of at-home prepared beverages.
The cola giant is set to begin a limited test of its soda brands for use in SodaStream International’s carbonation machines, according to The Wall Street Journal. Beverage Digest, an industry newsletter, first broke news of the trial run earlier day via Twitter, stating that the trial run is a 10-week test with PepsiCo introducing new “Homemade” versions of its flagship cola and Sierra Mist products.
The Journal reported that PepsiCo and SodaStream have agreed to a “small-scale, limited-time test” that will begin in the coming weeks. In a statement sent to the newspaper, PepsiCo said that it is “exploring multiple technologies in this space” and that “SodaStream is one of several companies we’re talking to about potential ideas for the future.”
In a separate statement sent to the Journal, SodaStream wrote that “there are currently no discussions between SodaStream and PepsiCo concerning any other form of broader business collaboration.”
PepsiCo’s test comes a few months before the Coca-Cola Co. is expected to launch a new line of pod-based beverages for use in Keurig’s soon-to-be-launched Keurig Cold system, which will allow consumers to make a variety of beverages, including carbonated ones, using its capsule-based technology. In February, Coca-Cola purchased a minority stake in Keurig and signed a long-term partnership with the company to produce a variety of pod-based Coke products.
As might be expected, SodaStream’s share price surged on the news, and at press time is up over 15 percent, trading at approximately $24.50.