The Coca-Cola Co, Coca-Cola FEMSA buy Unilever's AdeS business
The Coca-Cola Co and Coca-Cola FEMSA are expanding their non-carbonates footprint
The deal, announced today, is worth US$575m. The AdeS brand currently has a presence in Brazil, Mexico, Argentina, Uruguay, Paraguay, Bolivia, Chile, and Colombia. During 2015, AdeS sold 56.2m unit cases and generated net sales worth US$284m, the companies said.
"AdeS complements and reinforces our non-carbonated beverage portfolio offer, providing our consumers with a wider range of choices," said Coca-Cola FEMSA CEO John Santa Maria. "Together with our partner, The Coca-Cola Co, we will leverage the leading position of the AdeS brand, integrating it into our robust route-to-market model to drive value and further innovation on this new beverage platform."
Upon completion, the AdeS business will become part of the non-carbonated beverage platforms that Coca-Cola FEMSA shares with Coca-Cola Co in its franchise territories. In all other territories, Coca-Cola Co said it would work with its local bottling partners to develop sales of AdeS.
In April, Coca-Cola FEMSA posted a jump in Q1 sales and profits, despite volumes declines in Brazil.
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