Coke buys AB InBev’s stake in African bottler for 3.15 billion dollars | Progresiv
Coca-Cola has agreed to buy Anheuser-Busch InBev’s 54.5 percent stake in Coke’s largest African bottler for 3.15 billion dollars, the latest in a string of businesses offloaded by AB InBev following the announcement of its 104 billion dollars takeover of SABMiller. Coke had revealed in October this year that it planned to exercise its right to buy AB InBev’s stake in Coca-Cola Beverages Africa (CCBA), which distributes around 40 percent of Coke’s volumes in Africa, in light of the brewer’s takeover of SABMiller. 
CCBA’s operations span South Africa, Namibia, Kenya, Uganda, Tanzania, Ethiopia, Mozambique, Ghana, Mayotte and Comoros. Coke currently owns around 11 percent of CCBA.
The companies have also reached an agreement for Coke to acquire AB InBev’s interest in bottling operations in Zambia, Zimbabwe, Botswana, Swaziland, Lesotho, El Salvador and Honduras for an undisclosed amount.
Carlos Brito, CEO of AB InBev, said: “We are happy that we have been able to reach this agreement with the Coca-Cola Company in a timely manner and with a satisfactory outcome for all parties.”
The deal is expected to close by the end of 2017. Coke said it plans to hold onto the new businesses until they can be refranchised to its other bottling partners.
Coke, which has been offloading its distribution assets, has previously stated that a number of its bottling partners are interested in acquiring CCBA.
Coke's other bottling partners include Coca-Cola FEMSA in Mexico and Latin America, Coca-Cola HBC AG and Coca-Cola Enterprises in Europe.
AB InBev has offloaded billions of dollars worth of businesses across different continents since it announced its purchase of SABMiller, which has created the world’s biggest beer company. The new group controls nearly one third of the world’s beer. (www.foodingredientsfirst.com)
