Coca-Cola Sells CHI Limited to UAC of Nigeria in Landmark Deal
- The Coca-Cola Company has agreed to sell its Hollandia/Chivita (CHI Limited) business to UAC of Nigeria PLC, pending regulatory approval.
- This acquisition marks a significant step in UAC's expansion in Nigeria's fast-moving consumer goods sector and aligns with Coca-Cola's strategy to focus on scalable brands.
- Both companies express optimism about the growth potential of CHI Limited under UAC’s ownership, with the deal supported by legal and financial advisors
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The Coca-Cola Company has decided to sell Hollandia/Chivita (CHI Limited) to UAC of Nigeria PLC.
Source: Getty Images
Subject to regulatory approval, the deal represents a significant milestone in UAC's expansion ambitions, increasing its position in Nigeria's fast-moving consumer goods industry, the company stated in a filing on the Nigerian Exchange Limited.
“It supports The Coca-Cola Company’s strategy to operate a flexible and asset-light model and focus on brands that have the greatest potential to scale,” the filing on NGX said in part.
“The Coca-Cola system recently announced it will invest $1 billion in Nigeria over five years and remains committed to these investments, provided a predictable and enabling environment is in place.
“This investment underscores the importance of Africa as a long-term growth opportunity for the Coca-Cola system.”
Group Managing Director, UAC, Fola Aiyesimoju, said: “As a company with a strong presence in Africa, we are deeply committed to the continent’s growth. We are pleased to announce the acquisition of Chivita/Hollandia (CHI Limited), a leading dairy and juice business in the region.
“This acquisition presents significant potential to build on Chivita/Hollandia’s (CHI Limited’s) legacy of excellence and innovation. I would like to thank the management and staff of Chivita/Hollandia (CHI Limited) and look forward to working with the team to support the next phase of growth.”
Managing Director of Chivita/Hollandia (CHI Limited), Eelco Weber, said the business has made significant progress over the past few years, with the Chivita and Hollandia brands becoming clear leaders in their categories.
“I would like to thank our over 5,000 employees for their hard work and dedication in bringing our business forward and earning us recognition as a Gold-rated Great Place to Work,” Weber said.
Weber and the rest of the management team expressed confidence in the company's ability to grow.
“We see a bright future for Chivita/Hollandia (CHI Limited),” Weber said. “With the strength of our team, coupled with the dedication of UAC, there will be exciting opportunities for further growth.”
Fasken Martineau LLP and Templars served as legal advisers to UAC. Citi served as exclusive financial adviser to The Coca-Cola Company, with McDermott Will & Emery acting as legal adviser.
Source: Getty Images
Coca-Cola announces new bottle size
Legit.ng reported that Coca-Cola Nigeria has unveiled a new 60cl PET bottle across its beverage portfolio, promising Nigerian consumers more volume and refreshment at no extra cost.
The launch, which took place this week, introduces a larger bottle size for Coca-Cola, Fanta, and Sprite.
The company said the move is aimed at delivering greater value and enriching everyday moments for consumers, Punch reports.
Source: Legit.ng
