RUSSIA: Lebedyanksy taps PepsiCo for loan
Russian juice producer Lebedyanksy may borrow up to RUB10bn (US$364m) from its main stakeholder PepsiCo in a bid to help it finance current operations.
PepsiCo confirmed the possibility of a loan to just-drinks today (24 November), and said that it would loan the money "at an interest rate equal to or lower than what first-class banks may offer".
PepsiCo and its main bottling arm, The Pepsi Bottling Group acquired 75% of Lebedyansky for US$1.4bn in August. Since then, the company has made a further bid to acquire the remaining 25% of the leading Russian juice firm in September. It is thought the price per share may be similar to the RUB2,165 paid in the previous deal.
Lebedyansky is the largest branded producer in Russia's growing juice market, with an estimated 30% market share and annual revenue in 2007 of around US$800m, according to PepsiCo.
However, the company had a total debt of over RUB6bn in the third quarter of 2008.
Lebedyansky's juice volumes fell 1% during the first three months of this year. Revenue in juice rose 11% to US$202.8m, however. Group net income plunged into the red for the quarter, recording a loss of US$5.4m, compared to profit of US$24m in the same period in 2007.
According to a new report from the British Soft Drinks Association, functional beverages are continuing to outperform all other soft drinks categories. Annette Farr reviews the latest innovations in a...
The latest in the PepsiCo v bottlers saga took another twist this week as PepsiAmericas announced it is to enter into a joint venture with Central America Beverage Corporation (Cabcorp)....
Britvic's share price has leapt to its highest point for almost a year after the group announced a sales rise for its fiscal first-half....
Restructuring charges in Ireland have seen Britvic report flat net profits for its fiscal first-half, but the group reported an improving soft drinks market in the UK....
PepsiAmericas is to set up a joint venture with Central America Beverage Corporation (Cabcorp) to serve Caribbean and Central American soft drinks markets....
The top ten stories published on just-drinks this week:...
Pepsi Bottling Group, the drinks bottler currently in a takeover tussle with its majority shareholder, Pepsico, has signed a deal to buy Massachusetts-based firm Pepsi-Cola Bottlers for the Merrimack ...
PepsiCo has filed a lawsuit against one of its biggest bottlers, Pepsi Bottling Group, accusing board members of illegally setting up measures to block a PepsiCo takeover....
- Paddy Irish whiskey - The Facts
- A-B InBev and its SABMiller divestments - Focus
- SABMiller in Cent'l & E Europe - What is for sale?
- Is single malt the Great White Hope for Scotch?
- Is the wine industry confusing its consumers?
- Pernod Ricard to widen Our/Vodka sales reach
- Leonardo DiCaprio joins Runa drinks board
- Remy Cointreau names new Travel Retail exec
- Pernod in talks to sell Paddy whiskey to Sazerac
- US wholesalers point to Absolut decline - report
- Global Scotch whisky insights - market forecasts, product innovation and consumer trends
- Global travel retail insights - market forecasts, product innovation and consumer trends
- Global non-Scotch whiskies insights - market forecasts, product innovation and consumer trends
- Carbonates in India
- Consumer and Market Insights: Spirits Market in the US