Pepsi Beverages Co (PBC), a division of PepsiCo, has signed an agreement with US-based Tampico Beverages for the distribution of its fruit-flavoured drinks products.

Under the deal, PBC will distribute Tampico Plus beverages via PepsiCo’s direct store delivery system in selected US markets, the firm said late last week.

Financial terms of the distribution agreement were not disclosed.

The Tampico brand has a particularly strong position in many south-western markets of the US, the firm claims, driven partly by its popularity among Hispanic and other multicultural consumers.

PepsiCo said the addition of Tampico Plus to its portfolio is part of its strategy to provide a range of “healthier beverage choices” in the US. The product is made with 50% less sugar than regular Tampico products, the firm says.

“One of our top priorities is to lead in the areas of consumer engagement and innovation. As part of our efforts, we’re focused on entering new beverage categories with attractive growth potential,” said Mike Durkin, president of PBC’s North America field operations. “Tampico Plus is an excellent addition to our portfolio.”

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The distribution deal is part of PBC’s Learning Labs programme, an initiative designed to strengthen and diversify its brand portfolio by providing access to new beverage categories.

PBC will begin distributing Tampico Plus between now and June across parts of California, Texas, Arizona, Nevada, Florida and Georgia. The brand will be available in Citrus, Mango and Tropical flavours, and in various single-serve and multi-pack packages.

Last month, PepsiCo said it is targeting growth in China following recent Government approval to build 14 new beverage plants in the country.

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