Cadbury says will sell Australian drinks unit to Asahi

LONDON: British confectionery maker Cadbury said on Wednesday that it had agreed to sell its Australian drinks arm to Asahi Breweries of Japan for 550 million pounds (580 million euros, 810 million dollars). "Cadbury today announces that it has entered into a conditional agreement with Asahi Breweries for the sale of the Schweppes Beverages business in Australia for a total consideration in cash of approximately 550 million pounds," the company said in a statement.

The London-listed group, which makes Dairy Milk chocolate and Trident chewing gum, began a strategic review of the Australian beverages division in July as it looked to concentrate on the confectionery market. "The successful sale of Schweppes Australia will complete Cadbury's divestment of its beverage operations," added Cadbury chief executive Todd Stitzer in the statement.

"As a result, Cadbury will focus solely on growing its chocolate, gum and candy portfolio, in line with the Vision Into Action strategy, announced in June 2007." Cadbury was formerly known as Cadbury Schweppes until it demerged its Americas Beverages division in May. The US business, which has been renamed Dr Pepper Snapple Group, is now listed on the New York.