Brazilian juice maker The Natural One is exploring a potential sale of a minority stake or a complete exit, hiring investment banks Nomura and Itaú BBA to manage the process. According to a Reuters report, the company could be valued at between $550 million and $650 million in any deal.
What is The Natural One?
The Natural One produces ready-to-drink fruit juices, primarily selling in Brazil and North America. The company generates more than $200 million in annual revenue and over $50 million in EBITDA—a measure of earnings before interest, taxes, depreciation, and amortization that gives a clearer picture of operational profitability. The company's focus on natural, no-added-sugar juices has helped it carve out a niche in a competitive beverage market.
The move to explore strategic options comes as the company looks to accelerate its international expansion. A new investor could provide the capital needed to scale up production, enter new markets, or build out distribution networks beyond its current footprint. Potential buyers could include private equity firms looking for a stable cash-flow business or larger beverage groups seeking to add a fast-growing natural juice brand to their portfolios.
Why this matters for investors
For everyday investors, this story highlights a few key themes. First, it shows how mid-sized companies in emerging markets often turn to investment banks to find strategic partners or buyers when they need growth capital. The valuation range of $550-650 million implies a multiple of roughly 10-13 times EBITDA, which is in line with what similar consumer goods companies have fetched in recent deals.
Second, the interest from both financial and strategic buyers suggests that the natural and healthy beverage segment remains attractive, even as broader consumer spending faces pressure from inflation. In Brazil, recent bank earnings have pointed to a tough economic environment, but companies with strong brands and recurring revenue can still command premium valuations.
Finally, the process itself—hiring two major banks—indicates the company is serious about getting the best possible deal. Nomura is a global investment bank with deep experience in cross-border M&A, while Itaú BBA is a leading Brazilian advisory firm with local market knowledge. This dual approach can help attract both domestic and international bidders.
What to watch next
Investors should keep an eye on whether a deal materializes and at what valuation. If The Natural One successfully sells a minority stake, it could signal confidence in the company's growth trajectory. A full exit, on the other hand, would likely mean a larger beverage company or private equity firm taking control, which could lead to operational changes or a future IPO.
The broader context also matters. The global beverage industry has seen a wave of consolidation, with larger players snapping up smaller, health-focused brands to diversify their portfolios. For example, recent airline stake sales show how companies across sectors are using M&A to reshape their strategies. Similarly, Aser Ventures' potential stake reduction in DAZN highlights how firms often sell stakes to fund expansion in other areas.
For now, the process is in its early stages, and no deal is guaranteed. But for investors tracking the Brazilian consumer market or the natural foods trend, The Natural One is a name to watch.
