Pepsico Inc. said on Thursday it had agreed to buy Russian juice and dairy producer Wimm-Bill-Dann for $5.4-billion.
Pepsico said it would buy 66 per cent of WBD for $3.8-billion and then offer to acquire the remaining shares following completion of that acquisition.
"The transaction will establish PepsiCo as the largest food and beverage business in Russia, make it a leader in the country's fast-growing dairy category and build its presence in key markets in eastern Europe and central Asia," Pepsico said in a statement.
Wimm-Bill-Dann's Moscow-listed shares jumped 27 per cent on news of the acquisition which is subject to regulatory approvals.