Britvic expands its portfolio with the acquition of the UK’s fastest growing ‘ready to drink’ iced coffee brand
Britvic plc has acquired Jimmy’s Iced Coffee. Founded in 2010, Jimmy’s Iced Coffee is the fastest growing[1] ready-to-drink iced coffee brand in the segment. In the year to June 2023, it generated a retail sales value of £17 million, +43% on the previous year. The UK ready-to-drink iced coffee category is both large and fast-growing, with a retail sales value (RSV) of £280 million last year, an annual increase of 15.3%[2].
Simon Litherland, Britvic CEO, says: “We are thrilled to welcome Jimmy’s Iced Coffee to our portfolio of much-loved Britvic brands. The focus on innovation, great taste with fewer calories, and fully recyclable packaging makes Jimmy’s a perfect fit for Britvic. We have a long track-record of acquiring and developing brands, and I am confident in our ability to quickly expand our position in the iced coffee category – which is an exciting and fast-growing market segment.”
Jim Cregan, Co-founder of Jimmy’s Iced Coffee says: “We are so delighted with this deal which is the culmination of twelve years of monumental hard work by my sister and I. We have poured our heart and souls into making this business what it is today and we feel so fortunate that Britvic is now able to take Jimmy’s to places about which we could only dream. We are excited to watch the next chapter of the journey unfold and look forward to Jimmy’s Iced coffee becoming even more well known and enjoyed.”
Jimmy’s Iced Coffee is the fastest growing RTD iced coffee brand in the UK. With more than 10,000 distribution points[3], a Jimmy’s iced coffee is sold every 2.5 seconds 24/7. Started by Jim Cregan and his sister Suzie Owen in 2010, Jimmy’s was first sold in Selfridges in 2011 and has since grown into a much-loved and highly respected brand that cares about both people and the planet and has been certified as B Corporation.
Britvic intends to further accelerate the growth of Jimmy’s through the utilisation of Britvic’s market-leading customer relationships to drive new listings and increase distribution, while increasing cost efficiency through Britvic’s supply chain expertise and procurement capability. Jimmy’s is well aligned to Britvic’s Healthier People, Healthier Planet pillar, with lower calories per serve than the category average, fully recyclable packaging and compliance with HFSS legislation.
Jimmy’s Iced Coffee founders Jim and Suzie will continue to be involved in the business as ambassadors for the brand, helping to support the transition while providing advice on brand direction and future innovation, ensuring that Jimmy’s core values and ethos continue to drive the brand.
The transaction will be financed from existing internal resources and external debt facilities.
Brazilian Acquisition
Meanwhile, Britvic has announced the acquisition of the Extra Power energy drink brand in Brazil from GlobalBev. This marks an important extension of Britvic’s Brazilian operations, consistent with Britvic’s strategy to accelerate and expand its presence across Brazil.
With 42% market share in its core regions near Brasilia, Extra Power enables access to the fast-growing, high-margin energy category. In addition, the acquisition includes a modern, efficient warehouse in Brasilia that will enhance Britvic’s supply chain efficiency across its wider portfolio and route to market into Brazil’s Centre-West region. In the year to December 2022, the acquired portfolio generated R$118 million of net sales, growing 26% on the previous year.
This acquisition gives Britvic a meaningful presence in Centre-West region (Distrito Federal & Goias), providing the opportunity to scale its existing brands into a region where the business has historically under-indexed, as well as bring the acquired brand into Britvic’s existing footprint.
Britvic first entered the Brazilian market in 2015 with the acquisition of Ebba, followed by the acquisition of Bela Ischia in 2017. Since then, Britvic has developed fruit favourites such as Maguary, Dafruta and Bela Ischia into strong national presences known for innovation.
[1] IRI category data. Total market (inc. discounters, excluding dairy alternatives); 52 weeks to 22.04.23
[2] IRI category data. Total market (inc. discounters); 52 weeks to 22.04.23
[3] IRI category data. Total market (inc. discounters, excluding dairy alternatives); 52 weeks to 22.04.23
