CHINA: Suntory, PepsiCo expand distribution deal

By | 21 January 2010

Suntory targets China with PepsiCo

Suntory targets China with PepsiCo

Japan's Suntory Holdings has expanded its partnership with PepsiCo by signing a distribution deal with the soft drinks group in China.

PepsiCo will handle Suntory's Rich dairy drink brand in China, said Suntory yesterday (20 January).

Under the terms of the deal, PepsiCo will distribute Rich Caffe Latte and Strawberry au Lait flavours, initially in Guangzhou and Shenzhen in China's Guangdong province.

"This agreement extends partnership between Suntory and PepsiCo for the aim of further expanding business in China's beverage industry," said Suntory, which already handles PepsiCo soft drinks in Japan.

Reports out of Japan late last year claimed that Suntory was looking to up its presence in China through an extension of its PepsiCo tie-up. The two companies already work together in a series of bottling subsidiaries in Japan.

Sectors: Soft drinks, Water

Companies: Suntory, PepsiCo

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