Coca-Cola invests in organic aloe water beverage company, Aloe Gloe

22-Jun-2016 - Last updated on 23-Jun-2016 at 14:32 GMT

Coca-Cola has obtained a minority equity stake in California’s Aloe Gloe. Coca-Cola says the investment into the ‘up-and-coming’ brand gives it a further entry in the emerging market segment for plant-based beverages.

Aloe Gloe was introduced in 2012 and has had a two-year growth rate of 64%, according to data from Nielsen. Aloe Gloe is available nationwide in the US across 20,000 stores, including Sprouts, Kroger, Safeway and independent grocers and convenient stores.

It is produced in Southern California, and is distributed in the US and Canada direct to retailers and via Coca-Cola Refreshments.

Dino Sarti, Aloe Gloe co-founder and CEO, said the new partnership with The Coca-Cola Company will allow it to broaden its access to consumers, enhancing distribution and availability.

‘Billion dollar potential’

Coca-Cola’s investment comes via its Venturing & Emerging Brands unit (VEB), which identifies and nurtures brands with ‘billion dollar potential.’ Coca-Cola has obtained a minority equity stake in L.A. Aloe LLC, the company behind the Aloe Gloe brand.

"Our minority investment in Aloe Gloe gives VEB a further entry in the emerging market segment for plant-based beverages," said VEB President Scott Uzzell. "We look forward to partnering with Aloe Gloe to help them capture growth from this exciting consumer trend."

Coca-Cola’s VEB portfolio also deals with Honest Tea, Zico coconut water and Suja Juice.

Aloe Gloe

The beverage was created after co-founder Danny Stepper had a surfing accident that gashed open his forehead and required stitches. His doctor recommended applying Aloe vera to the scar and also drinking it. However, Stepper could not find any healthy options that weren’t full of sugar, and were organic and local.

Founders Danny Stepper, Pat Bolden and Dino Sarti initially met while working as merchandisers for Coca-Cola Enterprises (CCE), which was formerly largest Coca-Cola bottler in the US.

“Aloe vera contains more than 200 biologically active amino acids, vitamins, antioxidants, enzymes and minerals that have been clinically proven to improve skin and cardiovascular health. Our organic Aloe vera is delicately harvested to retain the bioactive components of the plant’s inner leaf,” says the brand.