Honest Tea Officially Announces Acquisition by Coca-Cola

Honest Tea “TeaEO” Seth Goldman officially announced the popular organic beverage company’s at a media event at the company’s downtown Bethesda headquarters Tuesday morning.

To applause, Goldman announced that he would remain on as TeaEO and that the company would continue to be based in Bethesda. Goldman also showed off a rendering of a new bottle design marked with “Bethesda, Md.” on the bottom.

“If we want to achieve our mission on a grand scale, we need a partner to make that happen,” Goldman told a group that included media and county officials.

Honest Tea is one of Bethesda’s green business success stories, having grown from selling 360,000 bottles a year in 1998 more than 100 million bottles in 2010 in stores across the country, according to a recent article Goldman wrote. Coca-Cola bought 40 percent of the company in 2008, and since then, sales have tripled, Goldman said.

“On behalf of Coke, I’m just thrilled to be able to call Honest Tea part of our portfolio,” said Michael Ohmstede, senior vice president in Coca-Cola’s venturing and emerging brands group.

Honest Tea’s focus on health and wellness, social responsibility and environmental conciousness are increasingly becoming important to consumers, Ohmstede said.

According to a press release, the company will continue to operate as a stand-alone business under Goldman, his management team and current employees. Goldman plans on re-investing most of his proceeds from the sale back into the company.

At the event,  Honest Tea and Coca-Cola also announced a new partnership with the Boys and Girls Club of Montgomery County. Honest Tea will provide their products and help fund the Boys and Girls Club’s Triple Play program, which focuses on nutrition and physical fitness for kids.

Patch recently sat with Goldman for a about the company, his products, and the acquisition.