The move creates a new company to drive investment in Core Power protein milk shake and build opportunities for future dairy-based beverages.
Source: Business Wire
The Coca-Cola Company and Select Milk Producers, Inc. have acquired equity stakes in the newly created Fair Oaks Farms Brands, LLC to drive growth and expansion of the dairy drink Core Power® and to create an innovative portfolio of brands and products that feature the value-added nutrition of dairy.
The Coca-Cola Co. is the world’s largest beverage company. Select Milk Producers, Inc. is an independent group of 87 dairy farmers based in Texas, New Mexico and the Midwest.
“At The Coca-Cola Company, we strive to provide people with a wide range of beverage choices that meet every occasion and lifestyle need,” said Steve Cahillane, President and CEO, Coca-Cola Refreshments. “This new investment led by our Venturing & Emerging Brands group is another great example of our ambition to be the best brand, sales and customer service system in North America.”
The investment validates the potential both parties see in offering higher quality value-added health and wellness beverages.
“Our leadership in technology, innovation and sustainability within the dairy industry, combined with The Coca-Cola Company’s brand development and distribution capabilities, will enable a new portfolio of nutritional beverages with strong growth potential,” said Mike McCloskey, co-founder and CEO of Select Milk Producers.
According to Steve Jones, CEO of the new Fair Oaks Farms Brands, LLC, “Our initial launch of Core Power is off to a great start and this new partnership agreement with VEB will help us realize our vision of becoming a leading health and wellness company and the most trusted brand leader in dairy nutrition.”
The Coca-Cola Company is the world's largest beverage company, with more than 500 sparkling and still brands. Led by Coca-Cola, the world's most valuable brand, the company's portfolio features 15 billion-dollar brands, including Diet Coke, Fanta, Sprite, Coca-Cola Zero, vitaminwater, POWERADE, Minute Maid, Simply, Georgia and Del Valle.
Select Milk Producers, Inc. was formed in 1994 by a group of large dairy producers with high quality milk and efficient dairy farm operations. The company’s common goal is to provide the highest quality product in the market place with the highest level of service. Another objective is to operate the cooperative’s 87 family-owned dairies efficienctly to achieve the optimum pay price for its membership. Select MilkP roducers produes and markets over 6 billion pounds of milk annually.
Venturing and Emerging Brands (VEB) is a dedicated operating unit of Coca-Cola North America charged with identifying high-potential growth brands in the North American beverage space for investment or ownership by The Coca-Cola Company and exploring potential synergistic relationships with these investments.
Fair Oaks Farms Brands, LLC is a health and wellness company that produces and markets premium quality, value added nutrition products that start with the best milk from independent American family farmers committed to sustainable and traceable agriculture. The company’s flagship farm, located in Fair Oaks, Indiana, is open to the public and is recognized as an innovator and leader in sustainable agriculture. Fair Oaks Farms Brands, LLC owns and operates Core Power, the high protein milk shake that is the first in the line-up of its value added nutrition products, and is currently being distributed in select regions of the US, with a national distribution rollout underway.