Suggestions




Coca-Cola Considers Options for $6 Billion Africa Unit

August 28, 2023
by
560x315 393454
560x315 393454

Coca-Cola Co. is weighing options for its bottling business in Africa, including a sale or initial public offering, according to people familiar with the matter.

The soft drinks giant holds 66.5% of Coca-Cola Beverages Africa and is speaking with potential advisers about its exit options, the people said, asking not to be named as the details aren’t public. A sale or IPO of the stake could value the African business at about $6 billion, the people said. This could change depending on the level of buyer interest, the people said.

Join our WhatsApp Channel

Deliberations are ongoing and there’s no certainty they’ll lead to a sale or IPO, according to the people. A representative for the African business referred queries to Coca-Cola, which declined to comment.

Coca-Cola initially tried to offload the stake in 2017, when it drew interest from the likes of Heineken NV and Coca-Cola HBC AG, Bloomberg News reported at the time. It had acquired the majority holding less than a year earlier, when it paid $3.15 billion to buy Anheuser-Busch InBev out of the African bottling joint venture.

The Coca-Cola Beverages Africa business serves 13 countries, including Kenya, Ethiopia and Ghana, according to its website. It accounts for about 40% of the Atlanta-based company’s drinks sold on the continent. Coca-Cola concluded a deal earlier this year to increase local shareholding in its South Africa bottling unit.

A year of global Covid-19 lockdowns at restaurants, amusement parks and stadiums have disrupted Coca-Cola’s global businesses. Organic sales fell 3% in the quarter ended Dec. 31 amid ongoing challenges from the pandemic. Still, the drop was less severe than analyst forecasts and Coca-Cola has predicted high-single digit revenue growth for 2021 as more of the world’s population gets vaccinated.

Website |  + posts

Prime Business Africa

Related Posts

Ohanaeze Warns Igbos Not To Join Nationwide Protest Against Economic Hardship
Previous Story

Igbo Day: Ohanaeze To Honour Igbo Heroes

53df5c8482c252013 02 14 at 15 37 58 660x400 1
Next Story

Nigerian Exchange Limited hosts free training to derivatives traders

Featured Stories

Related Posts

Latest from Finance & Economy

Abia State Commits to Co-Finance $200m Agro-Industrial Hub with AfDB

Abia State has reaffirmed its commitment to partner with the African Development Bank (AfDB) in establishing a Special Agro-Industrial Processing Zone (SAPZ), a transformative project aimed at turning agricultural production into value-added industries, Prime Business Africa reports. Governor Dr. Alex Otti, OFR,

Oyedele to Replace Uzoka-Anite as Finance State Minister

President Bola Ahmed Tinubu has nominated tax expert Taiwo Oyedele as minister of state for finance, replacing Doris Uzoka-Anite, in a cabinet reshuffle announced on Tuesday. Uzoka-Anite has been redeployed to the Ministry of Budget and National Planning as minister of state,

Petrol Prices Set to Rise After Dangote Price Increase

Fuel prices in Nigeria are expected to rise sharply after a hike in refinery rates, as Africa’s richest man Aliko Dangote outlined broader plans to expand into power, steel and infrastructure. The Dangote Petroleum Refinery has increased its gantry price for Premium
Ohanaeze Warns Igbos Not To Join Nationwide Protest Against Economic Hardship
Previous Story

Igbo Day: Ohanaeze To Honour Igbo Heroes

53df5c8482c252013 02 14 at 15 37 58 660x400 1
Next Story

Nigerian Exchange Limited hosts free training to derivatives traders

Don't Miss

85 Nigerian Deportees From US Set To Arrive Lagos As 116 Remains In Detention

85 Nigerian Deportees From US Set To Arrive Lagos As 116 Remains In Detention

The United States has commenced the deportation of Nigerian nationals,

Victor Osimhen Snub: You Made A Mistake, MIkel Tells Chelsea

Former Chelsea and Super Eagles midfielder, John Obi Mikel, has