Coca-Cola Co. is pursuing an acquisition of healthy soda brand Poppi, according to people with knowledge of the matter.

Also read: How Poppi’s surprise Super Bowl ad buy came together

And: Poppi is taking on Coke and Pepsi

The Atlanta-based beverage giant is among suitors for the company, said some of the people, all of whom requested anonymity discussing confidential information. No transaction has been finalized and a deal isn’t imminent, a person with knowledge of the situation said. Terms couldn’t be learned.

Also read: How Coke Zero Sugar used AI to give the soda a voice

A Coca-Cola representative said the company doesn’t comment on market rumors or speculation. A representative of Cavu Venture Partners, a Poppi investor that handles communications for the brand, declined to comment.

Poppi hasn’t disclosed sales, but said it’s the top-selling soda on Amazon. Its distribution also includes Target, Costco, Kroger and Whole Foods.   

Coca-Cola has been making acquisitions to help it diversify away from sugary drinks. In 2021, it agreed to buy the remaining stake in sports drink maker BodyArmor. A year before that, the company bought the rest of Fairlife, which produces ultra-filtered milk. And back in 2007, it purchased Vitaminwater for $4.1 billion. 

Austin-based Poppi, founded by Allison Ellsworth and Stephen Ellsworth, produces what it claims is a healthy alternative to traditional soda that’s made with fruit juice and apple cider vinegar. One can has about 25 calories or less, compared to roughly 140 calories in a Coke Classic.

Poppi gained notoriety in 2018 when the company—then known as Mother—received an investment from Cavu Venture Partners’ Rohan Oza on the Shark Tank television show. Partnerships with celebrities such as actress Keleigh Teller helped boost the brand further. It then added to the buzz last weekend when it aired a Super Bowl ad for the first time. 

—Bloomberg News