US: Dr Pepper Snapple gains US$715m from Coca-Cola Co
DPSG is quids in
The licence agreement, which sees Coca-Cola handle distribution of DPSG's Dr Pepper trademark brands in the US and Canada Dry in the north-east US, will have an initial term of 20 years. Coca-Cola will also distribute Canada Dry, C’Plus and Schweppes in Canada.
The brands had previously been distributed by Coca-Cola Enterprises, which Coca-Cola confirmed that it would acquire the North American operations of back in February.
Coca-Cola will also offer Dr Pepper and Diet Dr Pepper in local fountain accounts currently serviced by CCE and will include Dr Pepper and Diet Dr Pepper on its Freestyle fountain dispenser. The Freestyle agreement has a term of 20 years, with DPS’s investment estimated at $115m to $135m.
“Through this new relationship, The Coca-Cola Co will become one of the largest Dr Pepper trademark bottlers in the US," said Coca-Cola's chairman and CEO, Muhtar Kent.
The $715m payment comes in slightly below what had been expected, but markedly higher than one analyst had forecast last month.
Coca-Cola Enterprises has confirmed an addition to its board of directors....
Rwanda's Government has reportedly said that it will sell off its remaining stake in the country's Bralirwa brewer, which is majority-owned by Heineken....
- No Home Comfort for TWE as Bids Collapse
- Bacardi Seeks Own History at Bombay Sapphire Home
- NPD: The Craft Cocktail Revolution
- Private-equity bids "over" - TWE head
- just The Preview - Constellation Brands' Q2 & H1
- Suntory Holdings to split beer, spirits division
- Carlsberg suspends production at Russian brewery
- Anheuser-Busch InBev appoints new AmBev CEO
- Treasury Wine Estates pulls plug on takeover talks
- Diageo's Smirnoff Sours