Track the companies that matter to you. It's FREE! Click one of these fan favorites to get started: Apple; Google; Ford.



Coca-Cola FEMSA to Acquire Brazilian Bottler for $1.86 Billion

In an all-cash deal valued at $1.855 billion, Mexico-based Coca-Cola FEMSA (NYSE: KOF  ) has reached an agreement to acquire Brazil's second largest bottler of Coca-Cola products, Spaipa S.A. Industria Brasileira de Bebidas, Coca-Cola FEMSA recently announced.

According to Coca-Cola FEMSA's statement, acquiring Spaipa will boost its sales volume in Brazil by 40% and reach 39% of the country's "Coca-Cola system's volume."

Coca-Cola FEMSA has already secured bank commitments to finance the transaction using debt, the company announced. Coca-Cola FEMSA added that it expects the combined operational efficiencies and logistics of acquiring Spaipa will generate approximately $33 million in synergies at the EBITDA level within 18 to 24 months.

Carlos Salazar Lomelín, CEO of Coca-Cola FEMSA, said, "We continue to create a robust platform in Brazil with the acquisition of the second largest privately owned bottler in the system, operating in one of the regions with the highest GDP per capita in the country."

The deal is subject to approval from Brazil's antitrust authority, as well as from Coca-Cola.


Read/Post Comments (0) | Recommend This Article (0)

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2618495, ~/Articles/ArticleHandler.aspx, 9/30/2016 11:47:04 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated Moments ago Sponsored by:
DOW 18,338.49 195.04 1.07%
S&P 500 2,169.33 18.20 0.85%
NASD 5,314.88 45.73 0.87%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

9/30/2016 11:30 AM
KOF $76.09 Up +0.87 +1.16%
Coca-Cola FEMSA CAPS Rating: ***