In 1975, Rheingold was purchased by PepsiCo, Inc. in a hostile takeover, acquiring 80% of the company's stock. However, the Federal Trade Commission determined that PepsiCo controlled too many soft drink companies, and thus ordered that PepsiCo divest several prominent brands. When the divestiture was complete in 1977, Grapette was in the hands of Monarch Beverage Company, which manufactured NuGrape. As Monarch already manufactured a grape soda, it was determined that they did not need a second. Representatives from Monarch flew to Grapette's headquarters and essentially fired the Grapette team. As such, the Grapette name was shelved, and the flavor was retired in the United States.