Celsius Holdings, Inc. (CELH) witnessed a remarkable 34.35% surge in its stock price during Thursday's pre-market trading session. This significant upswing was primarily driven by two key catalysts:

Firstly, Celsius announced its acquisition of rival energy-drink maker Alani Nutrition for a staggering $1.8 billion in cash and stock. This strategic move aims to solidify Celsius' position as a prominent player in the rapidly expanding global energy drink market, particularly appealing to the younger, health-conscious demographic. According to reports, Alani Nutrition has been making substantial market share gains in the energy drink segment, complementing Celsius' own growth trajectory.

Secondly, Celsius reported impressive fourth-quarter 2024 results that surpassed analyst expectations. Despite experiencing a 4% year-over-year decline in revenue, the company recorded an adjusted earnings per share of $0.14, exceeding the consensus estimate of $0.12. This performance demonstrated Celsius' resilience and operational efficiency, bolstering investor confidence.

The acquisition of Alani Nutrition is expected to enhance Celsius' platform with a complementary and profitable brand, generating $50 million in annual cost synergies. Additionally, Celsius highlighted its robust international expansion plans, product innovation strategies, and initiatives to improve margins and profitability.

With a strong brand momentum, a diversified product portfolio, and a focus on capturing the growing demand for functional beverages, Celsius Holdings appears well-positioned for accelerated growth in the future. The company's management remains optimistic about its ability to drive sustainable growth and create long-term value for shareholders.