South African drinks company gets R260 million to take on the United States

PURA Beverage Company has secured a R260 million investment to expand its global footprint and accelerate growth, positioning itself as a disruptive player in the R25 trillion non-alcoholic beverage market.

PURA, a global beverage company headquartered in the United Kingdom and South Africa, recently announced that it has secured a R260 million investment from a leading global investment firm.

The injection of capital will grow the company’s international footprint and business, enabling its growth in the global non-alcoholic beverage market.

According to the latest data from Grand View Research, the global non-alcoholic beverage market, excluding coffee, tea, and dairy-based drinks, was valued at approximately $1.46 trillion (R25.21 trillion) in 2023.

This segment encompasses products such as carbonated soft drinks, bottled water, fruit juices, energy drinks, and functional beverages.

It is projected to grow at a compound annual growth rate (CAGR) of 6.0% from 2024 to 2030, reaching an estimated value of $2.1 trillion (R36.26 trillion) by 2030.

The PURA Beverage Company anticipated global health and wellness trends within this product category nearly a decade ago, before sugar reduction became the standard.

Since entering the market in 2017, the company has continued to disrupt traditional beverage categories across global markets.

It does this by offering natural, low-sugar, and preservative-free drinks that genuinely taste good for consumers.

“In the past 12 months in the United States alone, sales of beverages with 100% natural cane sugar have grown by more than 50% to over $600 million (R10.35 billion) in revenue,” said Greig Jansen, CEO of PURA.

“Consumers are becoming disillusioned with zero-sugar products that rely on synthetic sweeteners or sugar substitutes. They want the real thing, but less of it. PURA Beverages is here to deliver on that demand.”

Jansen said that PURA remains steadfast in its mission to offer “better-for-you” drinks that break the tension between taste and refreshment.

Global takeover

A spokesperson for the global investment firm stated that they were very excited and bullish about this investment into the beverage space, describing PURA Soda as a brand that would lead the next soda revolution.

The R260 million investment falls within a $2 billion (R34.54 billion) portfolio of assets and forms part of a number of global positions. The firm has committed to supporting the business and brand to reach their full potential.

The investment will be leveraged to accelerate PURA Soda’s market penetration, brand building, and marketing worldwide.

It will also provide the funds required to increase and support product listings across major retailers, predominantly in the United States but also in other international territories.

“Securing this investment is more than a business milestone; it’s a powerful endorsement of our brand, product, and the global opportunity ahead,” Jansen added.

“We’ve built a brand with international appeal, rooted in product innovation and consumer insights, and timed perfectly with consumer demand.”

He said that, with this investment, PURA can now attract top talent and build a dream team that will continue to deliver on the company’s growing ambitions.

The investment will be directed toward securing top-tier talent, strengthening local and global distribution networks, expanding the product portfolio, and accelerating marketing initiatives.

Today, PURA Soda is available on shelves at all leading retailers across Southern Africa and the United States, and products are also available at select major retailers in the Middle East.

The company is focused on growing its footprint across Africa and globally, which it is doing by tapping into the healthier beverage market.

It has had notable success in the United States market so far, with sales crossing $1 million (R17.25 million) on its launch day.