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Coca-Cola Europacific Partners agrees to $1.8bn joint acquisition

By William Dodds

- Last updated on GMT

The deal would make CCEP the largest bottler of Coca-Cola in the world. Credit: CCEP
The deal would make CCEP the largest bottler of Coca-Cola in the world. Credit: CCEP

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Coca-Cola Europacific Partners (CCEP) has announced that it has entered into a definitive agreement to jointly acquire Coca-Cola Beverages Philippines (CCBPI).

The Coca-Cola Company (KO), the current owner of CCBPI, has agreed to sell 100% of the business in a deal worth $1.8bn (£1.44bn).

The joint deal will be conducted together with CCEP’s Philippines-based partner Aboitiz Equity Ventures (AEV), with the firm’s splitting ownership 60:40. It was announced in August 2023 that CCEP had signalled its intent to acquire CCBPI in partnership with AEV​, a process that the group confirmed was “on track​” in a recent trading update.

Speaking at the time, CCEP chief executive Damian Gammell said that the team had been working closely with KO and AEV, and set out a vision of “driving sustainable and stronger growth through diversification and scale​​”.

The deal remains subject to regulatory approval, with the transaction expected to be completed by early 2024.

World’s largest bottler of Coca-Cola

Completion of the acquisition will position CCEP as the world’s largest bottler of Coca-Cola by both revenue and volume.

The acquisition will build on CCEP’s successful expansion into Australia, Pacific & Indonesia (API) in 2021, further strengthening the partnership with its significant shareholder KO​,” a statement from a CCEP spokesperson said.

CCEP’s acquisition of CCBPI, with AEV, one of the leading conglomerates in the local market, offers a great opportunity to co-own an established, well-run business with attractive profitability and growth prospects​.”

The group hopes that the deal will allow to create a “more diverse footprint​” across its current API division, which has posted a 6% decline in revenue for 2023 to date.

It will also provide the opportunity to leverage best practice and talent, including supporting Indonesia’s transformation journey​,” the spokesperson added.

It is therefore aligned with CCEP’s aim of driving sustainable and stronger growth through diversification and scale, and underpins the company’s mid-term strategic objectives.”

In other news, Kraft Heinz's new chief executive has announced five appointments to the group's executive leadership team.

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