Which company did PepsiCo acquire in 2001 for about $13.8 billion, bringing Quaker Oats and Gatorade into its portfolio?

PepsiCo acquired The Quaker Oats Company in 2001 for about $13.8 billion, bringing Quaker Oats and Gatorade into its portfolio.

The Quaker Oats Company traced its corporate history to the consolidation of several American oat and cereal businesses. By the end of the twentieth century, it owned or controlled major food and beverage brands, including Gatorade, which it had acquired through its purchase of Stokely-Van Camp in 1983.

PepsiCo completed its acquisition of Quaker Oats in 2001. The deal gave PepsiCo the Gatorade sports-drink business, strengthening its beverage portfolio beyond carbonated soft drinks. Quaker also supplied established cereal, oatmeal, and snack brands.

A common mix-up is to identify Gatorade as the acquired company. PepsiCo acquired the broader Quaker Oats company; Gatorade was one of its most valuable brands and a major strategic reason for the transaction.