Coca-Cola Europacific Partners (CCEP) and Aboitiz Equite Ventures (AEV) have entered into a letter of intent to jointly acquire Coca-Cola Beverages Philippines (CCPBI) for AUD$2.7 billion.
CCEP and AEV have signed a non-binding letter of intent for the joint acquisition of 100 per cent ownership of CCPBI from The Coca-Cola Company (KO).
Should the deal be completed it would position CCEP as the world’s largest Coca-Cola bottler by both revenue and volume, supporting its long-term growth strategy and focus on driving shareholder value.
CCEP and AEV plan on a 60:40 ownership structure, with the business governed by a board of five members, three appointed by CCEP and two by AEV, with CCEP also appointing the CEO.
“CCEP’s proposed acquisition of CCBPI, with AEV, one of the leading conglomerates in the local market, offers a great opportunity to co-acquire an established, well-run business with attractive profitability and growth prospects,” CCEP said in a statement.
The statement continued: “The proposed transaction is a further step for CCEP to create a more diverse footprint within its existing API business segment and support Indonesia’s transformation journey. It is aligned with CCEP’s aim of driving sustainable and stronger growth through diversification and scale and underpins the company’s strategic mid-term objectives.”
The proposed acquisition is expected to be completed around the end of 2023, subject to the finalisation of due diligence, signing definitive agreements, and obtaining regulatory approval.
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