PepsiCo has become Russia's largest food and drink company at a single stroke after buying a majority stake in dairy and juice producer Wimm-Bill-Dann Foods.
The $3.8bn deal hands PepsiCo more than 50% of the Russian juice market.
The move comes as part of a major drive by the soft drinks and snacks group to develop its presence in emerging markets. PepsiCo also plans to triple sales of nutritional and functional foods by 2020 to $30bn.
"Dairy has a huge, untapped potential to bridge snacks and beverages," said PepsiCo chief executive Indra Nooyi.
PepsiCo could also emerge as a potential bidder for French yoghurt business Yoplait, which last month was the subject of a billion-euro takeover bid by French rival Lactalis.
Lactalis bids to keep Yoplait in French hands (18 November 2010)
Britvic and PepsiCo link to ‘Reward Your Thirst’ (23 October 2010)