The Coca-Cola Co. has confirmed its interest in either buying Cadbury Schweppes' iced tea line Snapple or building its own tea brand, according to reports.

In an interview with Reuters yesterday (4 July), the company said that owning a tea brand was certainly something it was interested in doing, whether that meant buying or building something similar to the Snapple brand.

Coke CEO Neville Isdell said: "We're always looking at whether to build or buy, That is a valuation that we undertake - whether it (Snapple) is of interest to us or whether we can do it on our own."

Recently, UK-based Cadbury Schweppes said that it will probably sell off its US drinks business. Three groups are thought to be in the running for the unit -  Blackstone, Kohlberg Kravis Roberts and Lion Capital are believed to make up one consortium, while another consists of Bain Capital, Texas Pacific and Thomas H Lee. A third possible group, made up of Canada's Cott Corp. and other private equity groups, is also thought to be looking to bid.