PepsiCo said Monday that it is buying prebiotic soda brand Poppi for more than $1.6 billion.

The food and beverage giant said it plans to acquire the upstart for $1.95 billion. The deal includes $300 million of anticipated cash tax benefits, making the net purchase price $1.65 billion.

Pepsi will also have to make additional payments if Poppi achieves certain performance milestones within a set time frame after the acquisition closes.

Pepsi did not say when the deal is expected to close, pending regulatory approval.

Poppi’s founders Allison and Stephen Ellsworth launched the brand back in 2018, the same year that rival Olipop was founded.

This is a developing story. Please check back for updates.