PepsiCo just made a dippin’ big move! The snack giant has announced plans to acquire full ownership of Sabra and Obela, two powerhouse brands in the fresh dips and spreads category. Known for their delicious plant-based options (hello, hummus!), Sabra and Obela are now fully under PepsiCo’s umbrella. What does this mean for your fridge staples and the future of fresh, healthy snacks? Let’s take a closer look.
Pepsico’s positive move
PepsiCo has officially decided it’s time to double dip—literally! The company is acquiring Strauss Group’s 50% stake in Sabra Dipping Company and Obela Fresh Dips.
- Sabra: Based in New York, Sabra is a household name in the U.S. and Canada, raking in nearly $400 million in hummus sales annually.
- Obela: Operating in Australia, New Zealand, and Mexico, Obela is known for plant-based spreads that pack flavor into every bite.
- Timing: The deal is set to wrap up by the end of 2024.
This marks the end of their 50/50 partnership with Strauss Group, allowing PepsiCo to fully own and innovate the brands. Everyone’s dipping into the healthy trend!
Why it’s a big dip
The fresh dips market is exploding, and PepsiCo is here to grab the glory. With more people swapping chips for carrots (or just dipping both), hummus and other plant-based spreads are hotter than ever. Fresh dips like hummus fit perfectly into the growing demand for nutritious, plant-forward options, this is a strategy for PepsiCo to embrace the plant-based power and jump into the healthy market’s growing trends. By acquiring both brands fully PepsiCo can make the calls and have full control of products, whipping new flavors and products faster than ever. Isn’t PepsiCo an expert in that matter? While Sabra rules the North American dip scene, Obela is PepsiCo’s ticket to expand in markets like Australia and Mexico, now that’s global potential! And let’s not forget, this aligns perfectly with PepsiCo’s pep+ (PepsiCo Positive) initiative—a fancy way of saying they’re focusing on products that are good for people and the planet. This rings a bell: PepsiCo’s Regenerative Farming Push. PepsiCo is definitely becoming positive!
Steven Williams, PepsiCo’s North America Foods CEO, summed it up best:
“As we evolve our food portfolio and bring people more choices for more occasions, our aim is to meet the growing demand for positive choices and on-the-go options. Nutritious, simple foods like refrigerated dips and spreads represent a space we have long desired to expand in the U.S. and Canada. We are grateful to the Strauss Group for our long and successful partnership and look forward to this next chapter for the Sabra and Obela brands, as well as the PepsiCo food portfolio.”
Plant-based is a yes!
For the food industry, this move is a wake-up call: plant-based is here to stay, and it’s reshaping everything from snack aisles to global menus. PepsiCo’s leap into fresh dips shows the potential of simple, natural ingredients to capture consumer hearts, a fresh and flavorful meal. Sabra and Obela already prioritize environmentally friendly production—something PepsiCo plans to expand on. Sustainability wins! With this acquisition, increased demand for quality ingredients is expected: chickpeas, tahini, and plant-based oils. Heads up ingredient suppliers!
Bringing hummus and safe spread to center stage
PepsiCo’s dive into dips isn’t just a corporate move—it’s a boost for snack lovers everywhere. If you’re looking to keep up with trends or source high-quality ingredients for your creations, at Source86, we’re here to turn your ideas into the next big thing in snacking. Take a look at our ingredients list or contact us!
