CELSIUS Acquires Alani Nu for $1.8B

CELSIUS is giving big wellness energy.

What’s happening: The better-for-you energy drink maker acquired Alani Nutrition, maker of zero-sugar energy drinks and supplements, for $1.8B.

Absorbing flagship beverage Alani Nu, CELSIUS projects a combined ~$2B in sales. The drink maker’s stock jumped 30% on the announcement.

Alani who. Appealing to women, female-focused Alani has been moving fast since its 2018 start, growing revenue 271% in ’21, and 78% YoY just this January.

Targeting a wellness ethos, it has steadily launched new products, including protein bars in 2023 and creatine powder last year.

Synergy drinks. CELSIUS has had eyes on the upstart brand, noting Alani’s popularity cutting into its own — rising from 2.9% market share in Q1’24 to 3.5% in Q3.

But, notably, CELSIUS CEO John Fieldly revealed ~14% of energy drink consumers use his beverage and Alani Nu interchangeably.

With both, CELSIUS will command 16% of a $23B energy drink market.

Looking ahead: After an unprecedented run, CELSIUS stock dropped 52% last year — with consumer pullback causing a glut of inventory. Proving better-for-you energy is still a gold rush, it’s gearing up to take on global leader Red Bull.