24 June 2008 - Coca-Cola Icecek (CCI), the Turkish unit of Coca Cola, will acquire a 50% stake in Coca-Cola Beverages Pakistan Ltd (CCBPL) for USD 80 million.
According to CCI, both parties have signed a letter of intent regarding the share sale.
CCBPL’s sales in 2007 stood at 77 million unit cases.
The news comes only one week after FLEXNEWS reported that Coca-Cola Icecek unveiled its plans to establish a production company in Tajikistan together with an unnamed local company and the European Bank for Reconstruction and Development.
"Pakistan, with an approximate population of 165 million of which 67% are less than 30 years of age, offers a significant growth potential for CCI, currently serving an area of 9 countries with a population of 170 million. The Pakistan GDP increased by 7.3% in 2007, and forecasts estimate 6-7% annual growth over the next 5 years", CCI said in a statement.
Michael A. O’Neill, CEO of CCI commented, “We are very pleased to be a significant shareholder in CCBPL. We believe this investment is going to add value to CCI in the medium to long-term as Pakistan offers significant potential for us with its large and young population, growing urbanization trend, low per capita consumption and growing GDP.”