Carlsberg has expanded its tie-up with PepsiCo into Georgia and Armenia through the acquisition of two regional bottling operations.
The Danish brewer will purchase PepsiCo bottlers Iberia Refreshments in Georgia and JI Pepsi Cola Bottler Armenia from their current owner Revery.
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Under the agreement, Carlsberg will takeover production, sales, and distribution responsibilities for PepsiCo soft drinks in both countries.
Financial terms were not disclosed, with the Armenian deal being subject to approval from local authorities.
In a statement today (5 October), Carlsberg said the additions “will create a strong cluster in the South Caucasus, where [it] will benefit from a well-established and successful business in Azerbaijan.”
Carlsberg announced a bottling agreement with PepsiCo for Azerbaijan in July. The agreement will be effective in January.
“The expanded business will provide a strong platform to further develop a full multi-beverage portfolio across the region”, said Nikos Kalaitzidakis, the executive vice president for Central and Eastern Europe & India at Carlsberg Group.
Natalia Filippociants, the senior vice president and general manager for the Internal Beverages Europe segment at PepsiCo, added that the transactions deliver a “stronger route to market in Georgia and Armenia, combining PepsiCo’s portfolio with Carlsberg Group’s capabilities to unlock the next phase of growth”.
The latest additions extend Carlsberg’s bottling tie-up with the US drinks giant to 17 markets and increases its presence further in soft drinks.
Carlsberg described soft drinks as an “integral” part of its portfolio in its annual report.
Soft drinks generated 30% of overall group delivery volumes last year.
Notably, in January last year, Carlsberg’s acquisition of Britvic became “effective”. The Carlsberg Britvic business packages and distributes PepsiCo product lines across the UK and Ireland.
The Tuborg brewer also manages PepsiCo agreements across Norway, Sweden, Switzerland, Kazakhstan, Kyrgyzstan, Laos, and Cambodia.
From 2029, the Somersby brand owner will also bottle and distribute for PepsiCo across Denmark, Finland, Estonia, Latvia, and Lithuania.
