Coca-Cola Co. and Nestlé will compete across the ready-to-drink coffee and iced tea categories after agreeing to scale back their joint venture, Beverage Partners Worldwide.

The two companies were recently reported to have been in talks over the future of BPW, which markets products including Nestea iced teas and coffees worldwide.

The pair said that the venture would focus on black tea beverages in a bid to grow sales and go it alone in other categories.

"Both companies recognise the significant potential of these rapidly growing segments and will expand their offerings in these categories by identifying innovative new products and creating a broader choice for consumers," Coke and Nestlé said in a joint statement yesterday (2 November).

BPW will continue to handle Enviga, a green tea-based drink recently launched in the US and set for a roll-out across Europe next year.