Coca-Cola HBC to acquire majority stake in Coca-Cola Beverages Africa for $2.6 billion

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Coca-Cola HBC has agreed to acquire a 75 percent controlling stake in Coca-Cola Beverages Africa (CCBA) for $2.6 billion, in a move that will make it the world’s second largest bottling partner of The Coca-Cola Company.

The deal, announced today, sees Coca-Cola sell 41.52 percent of its 66.52 percent shareholding in CCBA, while Gutsche Family Investments (GFI) will divest its entire 33.48 percent stake.

The transaction values CCBA at $3.4 billion and is expected to close by the end of 2026, subject to regulatory approvals.

CCBA is the largest Coca-Cola bottler in Africa, with operations across 14 countries. It accounts for about 40 percent of Coca-Cola’s product volumes on the continent. After the acquisition, Coca-Cola HBC will cover more than 50 percent of Africa’s population and represent two-thirds of the company’s total system volume in the region.

Henrique Braun, executive vice president and chief operating officer of The Coca-Cola Company, said: “Coca-Cola HBC is a strong and valued bottler that will help usher in the next chapter of growth for CCBA. Coca-Cola HBC has demonstrated a strong track record of growing our system across Africa, having strong market share growth in Egypt and realising strong volume and share growth in Nigeria over the past several years.”

Coca-Cola’s refranchising strategy

The sale marks another step in Coca-Cola’s refranchising strategy, which has steadily reduced its ownership of bottling operations. In 2015, bottling represented 52 percent of the company’s net revenue, compared with just 13 percent in 2024. Once the deal completes, Coca-Cola expects bottling investments to make up around 5 percent of its net revenue.

GFI will continue its involvement in the Coca-Cola system through its ownership stake in Coca-Cola HBC. Philipp Hugo Gutsche, chairman of GFI, commented: “For more than eight decades, the Gutsche family has been dedicated to developing the Coca-Cola business across Southern and Eastern Africa. Coca-Cola HBC is the ideal partner to carry the CCBA business forward and to realise their shared vision for the Coca-Cola system on the continent.”

Zoran Bogdanovic, CEO of Coca-Cola HBC, highlighted Africa’s long-term growth potential, saying: “We are very excited to announce the acquisition of a majority stake in CCBA, with a path to full ownership. With almost 75 years of experience in Nigeria and with our successful acquisition of Coca-Cola’s bottling business in Egypt in 2022, we see huge growth opportunities in Africa. It has a sizable and growing consumer base and significant potential to increase per capita consumption.”

He added: “We believe we can unlock this growth and create value for our shareholders by leveraging our best-in-class bespoke capabilities, commercial expertise and industry-leading approach to sustainability. We appreciate the trust placed in us by Coca-Cola and GFI and look forward to welcoming the CCBA team to Coca-Cola HBC and driving joint success.”

Under a separate option agreement, Coca-Cola HBC can purchase Coca-Cola’s remaining 25 percent stake in CCBA within six years of closing, paving the way for full ownership.