S.A. Coke Franchise Heads Into Vietnam

Mar 04, 2004

SOUTH Africa’s Coca-Cola Sabco has reached a deal with the Coca-Cola Company to buy the US drinks firm’s bottling operations in Vietnam, Sri Lanka and Nepal. This means a market of about 120 million people.

By Emmy Olaki

SOUTH Africa’s Coca-Cola Sabco has reached a deal with the Coca-Cola Company to buy the US drinks firm’s bottling operations in Vietnam, Sri Lanka and Nepal. This means a market of about 120 million people.
According to a press release, both boards have approved the acquisitions and the formal closings are expected as soon as all regulatory and other consents are finalised.
Coca-Cola Sabco is the Coca-Cola Company’s bottling partner in Africa. It is the only Africa-based ‘Anchor Bottler’ in the global Coca-Cola system.
The company currently has operations in southern and East Africa.
“Vietnam, Sri Lanka and Nepal all represent a considerable opportunity as each has a relatively low per capita consumption of the Coca-Cola Company’s brands,” Sabco said.
Coca-Cola Sabco currently operates 21 bottling plants.
“We are delighted to be running our first business in Asia, in conjunction with the Coca-Cola Company and we are particularly delighted that this acquisition brings us to three dynamic countries,” Martin Jensen Coca-Cola Sabco’s CEO said.
“We pride ourselves in working under challenging conditions in emerging markets and believe that each country provides opportunities for growth,” he said.
Coca-Cola Sabco has operated in Uganda since 1995 when it signed a joint venture agreement with Century Bottling Company Limited. Patrick Mugenyi, the Century spokesperson said they are proud to be part of an ambitious group.
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