Coca-Cola Company and Gutsche Family Investments to Sell Controlling Interest in Coca-Cola Beverages Africa to Coca-Cola HBC AG

Strategic Insights -

The Coca-Cola Company and Gutsche Family Investments have agreed to sell a 75% controlling interest in Coca-Cola Beverages Africa Pty. Ltd. to Coca-Cola HBC AG, the companies announced today. This transaction values 100% of CCBA at an equity value of US$3.4 billion and is targeted to close by the end of 2026. Coca-Cola HBC will represent two-thirds of Africa's total Coca-Cola system volume and cover over 50% of the continent's population, solidifying its long-term commitment to growth in Africa.

Key Takeaways:

  • The Coca-Cola Company and Gutsche Family Investments have agreed to sell a 75% controlling interest in Coca-Cola Beverages Africa Pty. Ltd. to Coca-Cola HBC AG, valuing 100% of CCBA at an equity value of US$3.4 billion.
  • Coca-Cola HBC will acquire 33.48% of CCBA from Gutsche Family Investments and purchase 41.52% of CCBA from The Coca-Cola Company, making Coca-Cola HBC a majority stakeholder in CCBA.
  • The transaction is targeted to be completed by the end of 2026, subject to satisfaction of conditions, including customary regulatory and antitrust approvals.
  • Coca-Cola HBC's acquisition of CCBA is part of the company's ongoing refranchising of company-owned or controlled bottling operations.
  • The Coca-Cola Company expects bottling investments to make up approximately 5% of consolidated net revenue following the closing of this transaction.
  • Coca-Cola HBC will pursue a secondary listing on the Johannesburg Stock Exchange, underpinning its commitment to South Africa and the African continent.
  • Coca-Cola HBC's acquisition of CCBA solidifies its long-term commitment to growth in Africa, covering over 50% of the continent's population and representing two-thirds of Africa's total Coca-Cola system volume.
  • The Gutsche family will continue its involvement in both the Coca-Cola system and Africa through its ownership stake in Coca-Cola HBC.

Statistics:

  • US$3.4 billion: The equity value of Coca-Cola Beverages Africa Pty. Ltd.
  • 75%: The percentage of controlling interest in CCBA being sold to Coca-Cola HBC AG
  • 14: The number of countries CCBA operates in
  • 40%: The percentage of all Coca-Cola ready-to-drink beverages sold in Africa by volume that CCBA accounts for
  • 14,000: The number of employees in CCBA group across Africa
  • 800,000: The number of customers served by CCBA group
  • 200: The number of countries and territories where The Coca-Cola Company sells its products
  • 29: The number of countries across Europe and Africa where Coca-Cola HBC operates
  • 50%: The percentage of the continent's population covered by Coca-Cola HBC following the acquisition of CCBA

Sources:

  • ENPublishing - http://www.enpublishing.co.uk
  • The Coca-Cola Company - www.coca-colacompany.com
  • Coca-Cola HBC AG - https://www.coca-colahellenic.com
  • Gutsche Family Investments
  • Coca-Cola Beverages Africa CCBA - https://www.ccbafrica.co.za
  • Coca-Cola HBC - https://www.coca-colahellenic.com