MANILA, Philippines — The Philippine Competition Commission (PCC) has cleared the Aboitiz Group’s acquisition of Coca-Cola Beverages Philippines Inc. (CCBPI), paving way for the closing of the transaction by the end of the month.
In a stock exchange filing, Aboitiz Equity Ventures Inc. (AEV) said the company and Coca-Cola Europacific Partners plc (CCEP) received the certificate of approval from the PCC to proceed with the acquisition of ownership in CCBPI.
The two partners will buy 100 percent of CCBPI from Atlanta-based The Coca-Cola Co. for $1.8 billion, subject to cash, debt-like items and working capital adjustments at closing of the transaction.
Under the joint acquisition of CCBPI, AEV will hold 40 percent beneficial ownership while CCEP will hold 60 percent stake.
AEV and CCEP incorporated in December last year CCEP Aboitiz Beverages Philippines Inc. to acquire 100 percent of the share capital of CCBPI.
Following the receipt of the PCC approval, AEV said the parties expect to close the transaction by end-February upon completion of the remaining conditions.
A beverage supplier in the country, CCBPI has a wide supply chain footprint consisting of 73 production lines and 19 plants.
The acquisition will build on AEV’s portfolio diversification strategy to enter the branded consumer goods spaces.
The conglomerate said it would be well positioned to support CCBPI’s growth ambition given the synergies that can be generated from the groups other businesses.