SodaStream boss could get $61m


SodaStream boss could get $61m

PepsiCo wants to acquire SodaStream International, which is headed by CEO Daniel Birnbaum
PepsiCo wants to acquire SodaStream International, which is headed by CEO Daniel Birnbaum

SodaStream International chief executive Daniel Birnbaum could collect as much as $61m (€53.3m) on completion of the company’s proposed acquisition by Pepsi.

Pepsi said yesterday that it had agreed to pay $144 a share in cash for the Israeli maker of fizzy-drinks dispensers, which is 11pc above SodaStream’s closing price on Friday.

Mr Birnbaum owns 137,277 shares, which would result in a $19.8m (€17.3m) haul, according to data compiled by Bloomberg.

Earlier this year, SodaStream shareholders were asked to approve three different equity awards for Mr Birnbaum, entitling him to earn as many as 285,000 shares over several years if certain goals were met.

Should they fully vest as part of the deal, he’d get an additional $41m. Some of the shares are linked to stock return and it’s not clear they would vest in full at the $144 offer price.

In one of her final acts as chief executive officer of PepsiCo, Indra Nooyi is trying to boost revenue growth that has been waning due to weak demand for traditional sugary soft drinks.

SodaStream sells machines used with compatible carbon dioxide capsules and optional flavoured syrups, and its success in locking in customers allowed it to recently raise its full-year outlook. PepsiCo said the move is also intended to boost sustainability because consumers fill reusable bottles.

“SodaStream is highly complementary and incremental to our business, adding to our growing water portfolio,” said Ramon Laguarta, who is set to replace Ms Nooyi in October.


Irish Independent

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