Coke bottler makes £5bn bid for Australian counterpart
British-based bottling giant Coca Cola European Partners (CCEP) has made a A$9.2bn (£5bn) offer for its Australian counterpart in what would be the biggest deal in Australia this year.
Reports emerged of a potential bid over the weekend before CCEP confirmed it had made a bid for Coca Cola Amatil.
The company operates in six Asia-Pacific countries including Australia, New Zealand, Indonesia, Papua New Guinea, Fiji and Samoa.
Late Sunday night CCEP said the deal would help it create a “broader and more balanced footprint”.
The world’s largest independent bottler of Coca-Cola is offering about A$12.75 a share - a premium of 18.6pc on Friday's closing price.
Amatil’s independent shareholders have backed the takeover, Reuters reported. US-based Coca-Cola Co owns a 30.8pc stake in Amatil and a 19.4pc state in CCEP.
Both companies bottle and sell Coca Cola products in their respective markets but have suffered from lockdowns that have hindered volumes.
“This has particularly been the case in Western Australia and New Zealand... providing insight on the expected shape of the recovery that can be expected,” said Amatil managing director Alison Watkins.
Shares in Amatil have slid nearly a fifth on their 2020 high so far this year. The company has 32 production facilities and operates in Australia, New Zealand, Indonesia, Fiji, Papua New Guinea and Samoa.
Any agreement is subject to “confirmatory due diligence” from CCEP, the company said.
