Celsius Acquires Alani Nutrition for $1.8 Billion to Expand Wellness Portfolio

In a bold move to expand its footprint in the health and wellness sector, Celsius Holdings, the popular energy drink company, has announced the acquisition of Alani Nutrition (Alani Nu), a fast-growing female-focused health and wellness brand, in a deal valued at USD $1.8 billion. This strategic acquisition positions Celsius to further strengthen its presence in the rapidly growing market for zero-sugar energy drinks and functional wellness products.

A Game-Changing Acquisition

The deal, which includes $150 million in tax assets, brings the net purchase price to $1.65 billion, consisting of both cash and stock. The acquisition reflects Celsius' commitment to broadening its market reach and deepening its portfolio of functional beverages. According to John Fieldly, CEO and Chairman of Celsius, this acquisition is a key milestone for the company, as it seeks to tap into the growing demand for better-for-you, functional products that promote overall well-being.

“We are at a defining moment in the better-for-you, functional lifestyle products movement, and we are thrilled to welcome Alani Nu to the Celsius family,” said Fieldly. He went on to express admiration for the strong community that Alani Nu has built, along with its authentic brand image and partnerships. Fieldly also stated that the collaboration will broaden the reach of Alani Nu’s functional products, offering even more opportunities to help people meet their wellness goals.

A Brand with a Focus on Women’s Wellness

Founded in 2018, Alani Nu was created with the mission to provide high-quality, functional beverages and wellness products, specifically catering to women, particularly within Gen Z and Millennial demographics. The brand quickly gained popularity for its refreshing approach to health and wellness, offering a range of zero-sugar energy drinks, pre-workouts, protein powders, and other wellness products.

Katy Schneider, Co-founder of Alani Nu, expressed her excitement about the future of the brand under Celsius’ leadership. "When we founded Alani Nu in 2018, the goal was simple: to create products that made women feel their absolute best—inside and out," Schneider said. "I’m incredibly proud of everything we’ve built, and I have full confidence that Celsius is the best partner to help Alani Nu reach new heights while staying true to its core values."

A Win-Win for Both Brands

With Alani Nu’s retail sales growing by an impressive 78% year-on-year, and the brand’s market share climbing to 4.8%, the acquisition presents an opportunity for Celsius to tap into a vibrant and loyal customer base. The deal will not only give Celsius access to Alani Nu’s strong presence in the wellness market but also allow for increased distribution, innovation, and global expansion.

Under the terms of the acquisition, Celsius will acquire Alani Nu from its co-founders and Congo Brands leadership for $1.8 billion, including $1.275 billion in cash and $500 million in newly issued Celsius shares. Additionally, the deal includes a potential $25 million earn-out based on Alani Nu’s performance in 2025.

Financing the Deal: A Strategic Move for Growth

The acquisition will be financed through a combination of $900 million in debt and $375 million in cash on hand, ensuring that Celsius maintains a strong liquidity position with an estimated net leverage ratio of 1.0x. Despite the substantial financial commitment, the deal is expected to support the long-term growth of Celsius and its portfolio.

What’s Next for Celsius and Alani Nu?

The acquisition is a significant step in Celsius’ ongoing journey to expand its brand and product offerings, especially as the demand for functional beverages continues to rise. The transaction has been approved by Celsius’ Board of Directors and is currently awaiting regulatory approvals, with the deal expected to close in the second quarter of 2025.

As both brands combine their strengths, Celsius and Alani Nu are poised to capitalize on the growing consumer interest in health-conscious, low-sugar, and functional products. This merger marks the beginning of an exciting new chapter for both companies, with the promise of more innovative products and expanded market reach in the future.