Chobani, the US food and beverage manufacturer, has announced plans to invest approximately $1.2 billion over the next five years to establish a 1.5-million-square-foot manufacturing and warehouse campus in Allentown (PA).
The expansion includes acquiring an existing Allentown manufacturing facility and warehouse from Keurig Dr Pepper (KDP). First opened for production in 2021, the facility will be equipped with new technology and up to 10 production lines. The site is expected to support over 900 jobs and source more than 3 billion pounds of Pennsylvania milk annually at full capacity.
Chobani plans to use the hub to produce milk featuring higher protein and lower sugar content than traditional milk, alongside high-protein shakes. Located within 500 miles of roughly 40% of the US population, the campus will improve market access across major consumer regions.
Founder and CEO Hamdi Ulukaya stated: “When I first walked through this factory, I knew there was something special here […]. Pennsylvania has generations of dairy families producing some of the best milk in America. That means everything to me”.
The transaction forms part of a wider agreement with KDP that encompasses the repurchase of KDP’s equity stake in Chobani and an expanded distribution arrangement via KDP’s store delivery network.
Source: Chobani (via PR Newswire)
