Coca-Cola buys stake in Kerry Beverages
The Coca-Cola Company said on Tuesday that it acquired a controlling stake in Kerry Beverages, its bottling joint venture with the Kerry Group, a conglomerate based in Hong Kong.
By Agencies |
NEW YORK: The Coca-Cola Company said on Tuesday that it acquired a controlling stake in Kerry Beverages, its bottling joint venture with the Kerry Group, a conglomerate based in Hong Kong.
Terms of the deal have not been disclosed.
Kerry Beverages was formed by Coca-Cola and the Kerry Group in 1993, and has majority ownership in 11 joint ventures that manufacture and distribute products of Coca-Cola in nine provinces of China.
After the deal, Coca-Cola will hold 89.5% of Kerry Beverages, and will have agreed to purchase the remaining 10.5% by the end of ‘08.
A Coke statement said the relationship it has built with Kerry through the joint venture “will continue to allow Coca-Cola to tap into the wealth of experience and expertise Kerry has in China.” Coke said the existing management of Kerry would continue to play “a critical role” in the group.
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But it said that, after the transaction, Coca-Cola's Bottling Investment Group will lead the management of the company.Download
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