Seagram scrapped its IPO plan for its Tropicana Juice unit and will instead sell the market-leading business to PepsiCo for US$3.3 billion. The deal, announced today, extends the cola company wars into the juice market -- Coca-Cola already owns the Minute Maid brand. Seagram had hoped to raise $3.5-$4 billion in the IPO and use the money to fund its purchase of PolyGram. Seagram purchased Tropicana for $1.2 billion in 1988 and added the Dole brand to the unit in 1995.
Tropicana Sold
Seagram scrapped its IPO plan for its Tropicana Juice unit and will instead sell the market-leading business to PepsiCo for US$3.3 billion. The deal, announced today, extends the cola company wars into the juice market -- Coca-Cola already owns the Minute Maid brand. Seagram had hoped to raise $3.5-$4 billion in the IPO and use the money to fund its purchase of PolyGram. Seagram purchased Tropicana for $1.2 billion in 1988 and added the Dole brand to the unit in 1995.
