SodaStream Shares Popped: What You Need to Know

Updated

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of drink maker SodaStream International (NAS: SODA) jumped 11% at the open today after the company announced a partnership with Kraft Foods (NYS: KFT) .

So what: The partnership will initially begin by offering Crystal Light and Country Time as carbonated beverages, and more could be added later. The companies plan to launch the products at retail locations in the second quarter of this year.

Now what: This could be a major strategic move that makes SodaStream more mainstream to skeptical buyers. Many of SodaStream's flavors are similar to other brands', but when they actually come from those brands, consumers will know exactly what they're getting. This one deal is exciting in itself, but it could also open up new possibilities for partnerships in the future.

Interested in more info on SodaStream? Add it to your watchlist byclicking here.

At the time thisarticle was published Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.Motley Fool newsletter services have recommended buying shares of SodaStream International. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

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