GraceKennedy Limited (GK) is set to launch its Catherine’s Peak bottled water brand in the Cayman Islands later this year, following the completion of 100 per cent ownership of the business.

The decision to expand Catherine’s Peak’s footprint beyond Jamaica’s shores marks a significant step in GK’s goal to establish itself as the leading Caribbean food and beverage powerhouse.

On Thursday, GK shared news of the acquisition of the remaining 30 per cent stake in Catherine’s Peak Bottling Company from Spike Industries Limited with shareholders via the Jamaica Stock Exchange. This means that GK now has full control of the business, setting the stage for aggressive market penetration beyond Jamaica.

“Our acquisition of Catherine’s Peak perfectly aligns with GK’s strategy to own leading Jamaican brands that deeply resonate with consumers and have significant global market potential, as we work towards achieving our vision of being the number one Caribbean brand in the world by 2030,” said Frank James, CEO of GK Foods – Domestic, in a press release.

Catherine’s Peak, sourced from Jamaica’s Blue Mountains, has long been a staple in the premium bottled water category, largely appealing to health-conscious consumers. GK can leverage its extensive distribution networks and market insights to position the brand to compete in high-growth regional markets, starting with the Cayman Islands, where demand for premium bottled water has been steadily increasing.

“This acquisition is another significant step in our ambitious growth strategy for both Catherine’s Peak and our food business. We are looking forward to introducing innovative products under the Catherine’s Peak brand and are actively exploring additional opportunities to expand our market reach,” James said.

“In keeping with these efforts, we are currently finalizing plans to launch Catherine’s Peak exports to the Cayman Islands in 2025 and anticipate further growth into new territories in the future,” he added.

Efforts by the Jamaica Observer to gain further insight into why GK chose the Cayman Islands as its first offshore location for expansion were not successful up to press time. However, research into the market indicates that the Cayman Islands’ bottled water industry is characterised by a combination of local production and consumer preferences shaped by environmental considerations.

The market features established local brands such as Flowers Bottled Water and H2Only. Flowers Bottled Water, operating since 1974, prides itself on being the first provider of purified drinking water in five-gallon bottles in the Cayman Islands. The company positions itself as a convenience-driven service with home and office deliveries.

Similarly, H2Only offers purified water through a unique extraction process, ensuring high-quality drinking water. The company provides bi-weekly deliveries and caters to both residential and commercial clients.

GraceKennedy’s introduction of Catherine’s Peak into the Cayman market will require strategic positioning. Emphasising the brand’s premium quality, unique sourcing from Jamaica’s Blue Mountains, and commitment to sustainability could resonate with both health-conscious and environmentally aware consumers.

Jamaica’s bottled water industry has experienced heightened competition, with international brands and local start-ups vying for consumer attention. However, Catherine’s Peak has remained resilient, leveraging its natural purity, high mineral content, and strong brand recognition.

Nevertheless, as the market shifts towards premium health-focused beverages, GK is looking to modernise and expand its product offerings.

James reaffirmed the company’s market position, stating, “Since GK’s initial investment in 2018, Catherine’s Peak has been a key part of the GK Foods portfolio.”

GK’s full acquisition of Catherine’s Peak is just one part of a larger corporate transformation aimed at strengthening its footprint in the beverage segment. The company has actively expanded its product lines, introduced new distribution models, and optimised its logistics and supply chain infrastructure to support regional and international growth.

GK is testing the waters for further Caribbean and North American market penetration with the Cayman Islands launch later this year. Given the brand’s strong sales performance in Jamaica, with projections nearing J$1.5 billion, the company expects similar traction in export markets.

— Karena Bennett