As part of a joint venture with Saudi-based Almarai, the beverage company says it has acquired 75 per cent of fresh dairy manufacturer Teeba.

PepsiCo vice chairman Michael White says the deal, which will see the operations formerly owned by Almarai become part of both companies’ respective joint venture, will continue the group’s own diversification plan.

"This is an important step forward in our ongoing effort to build a diversified global portfolio of foods and beverages, addressing consumers' need for nutrition as well as fun and refreshment," he states.