Coca-Cola acquires stake in BodyArmor

Coca- Cola has acquired minority ownership of BodyArmor, a sports drink company.

The agreement will grant BodyArmor access to Coca-Cola’s bottling and distribution system, a move Duane Stanford, the executive editor of Beverage Digest, a publication on the non-alcoholic beverage industry observes will further accelerate the brand’s growth.

“Coke’s backing is likely to accelerate that momentum,” said Stanford via email.

BodyArmor, founded in 2011 and partly owned by formerNBA superstar Kobe Bryant, says its on track to reach $400 million in retail sales this year.

Company officials say BodyArmor is a healthier alternative to other sports drinks because it contains lower sodium amounts; has higher levels of potassium; and is devoid of artificial flavors and colors.

“I have no doubt it (the agreement) will prove to be a strong offering to our system alongside our already powerful hydration portfolio as we accelerate our position as a total beverage company,” said Jim Dinkins, CocaCola North America president.

Stanford said the deal, whose details have yet to been publicized, makes BodyArmor a formidable challenger to established brands like Gatorade and Powerade.

Gatorade dominates the sports drink and hydration market, commanding 75 percent of it.

Global sports drink forecasts, according to Orbis Reseach, point to an 8.6 percent growth