Varun Beverages is ready to enter the South African market, as it is one step closer to finalising the purchase of The Beverage Company (BevCo). Picture: BevCo Website
Varun Beverages is ready to enter the South African market, as it is one step closer to finalising the purchase of The Beverage Company (BevCo).
The deal with the SA company was valued at more than R2.9 billion and would allow the Indian bottler to have a piece of Africa’s huge beverage market.
BevCo is based in Johannesburg and is responsible for bottling all the PepsiCo-branded non-alcoholic beverages in SA.
The company also bottles JiVE, Coo-ee, Reboost and Refreshhh.
It should be noted that the deal will be finalised by July 2024, as it still needs to go through several regulatory processes.
In mid-November, BevCo announced an exclusive partnership between Roman’s Pizza and Pepsi. This would run from November 2023 until January 2024.
Varun Beverages share price rose by nearly 18% after the purchase announcement was made.
The share price was trading at 1,304 rupees (R287.56) at 9am on Wednesday morning.
IOL News