SCOTTSDALE, Ariz. – The Alkaline Water Company, maker of celebrity-favorite bottled water brand Alkaline88, is acquiring Los Angeles-based company AQUAhydrate in an all-stock transaction. AQUAhydrate’s investors and board members include Mark Wahlberg, Sean ‘Diddy’ Combs, and celebrity fitness trainer Jillian Michaels. The trio have entered into new endorsement agreements with Alkaline and AQUAhydrate.
The two companies will work together to develop a line of CBD products but also will pursue different regions of the vast Alkaline water market. Alkaline88 will focus on marketing products to families while AQUAhydrate will target athletes and those with an active lifestyle.
“The AQUAhydrate and Alkaline88 brands align well and will support exciting innovations in flavors, sparkling, and CBD products,” Mark Wahlberg said according to Forbes.
The new partnership between the two brands should benefit greatly from Wahlberg, Diddy, and Michael’s vast social media networks. The combined followers of the three celebrities’ social media accounts are estimated to be about 74 million in total. This vast reach will be a major component of the new partnership’s marketing strategy. Sales are expected to reach $65 million by fiscal year 2020.
Wahlberg noted that he and Diddy initially became involved with AQUAhydrate because of their shared vision to “build a lifestyle company focused on health and wellness.” The pair have invested more than $20 million into the company.
Diddy, who boasts impressive business acumen, felt he and Wahlberg could grow their brand significantly through strategic distribution deals.
“We built AQUAhydrate from the ground up by securing deals with the largest retail grocery outlets, creating innovative partnerships and evolving the brand,” the hip-hop star and successful businessman said. “Today, I am confident that we are creating a powerhouse by combining AQUAhydrate with one of the largest, fastest-growing alkaline water companies in the world. I look forward to this next stage of growth as we build one of the most recognizable brands for premium water.”
“We believe that collectively, the board of directors, management teams, and ambassador strength of the combined company has the opportunity to be the market leader in the premium water category and in the new platforms of products we will be rolling out under both brands,” said Alkaline Water Company Chairman Aaron Keay in a press release.
Alkaline Water Company will now operate as one of the largest CBD brands in the U.S. Mainstream retailers including Walmart, Target, Safeway, CVS, Rite Aid, Bristol Farms, Albertsons, and many more are expected to stock CBD products from Alkaline Water and AQUAhydrate.