Mon, Nov. 14, 9:43 AM
- Managers at Anheuser-Busch InBev (NYSE:BUD) have a huge incentive to strike a deal to acquire Coca-Cola (KO +0.5%), observes The Telegraph.
- 65 top execs stand to share a £278M ($350M) bonus pool if $100B in annual revenue is brought in by the company before 2020, a target unlikely to be achieved through organic growth.
- The Telegraph reports that A-B CEO Carlos Brito has already acknowledged that it's looking at beverage targets outside of beer.
- Discussion of a KO-BUD tie-up is nothing new on Seeking Alpha (I, II, III).
Thu, Sep. 29, 3:34 PM
- It don't take long after shareholders at Anheuser-Busch (BUD -1.4%) and SABMiller (OTCPK:SBMRY) formally agreed to a mega-merger before talk of what's the next M&A move cropped up with plenty of heavy hitters holding shares.
- Both HSBC and Stifel Nicolaus think Coca-Coca (KO -0.1%) will be the next target for the beer behemoth, perhaps even sooner than some may think. The synergy math could be stunning if all the complications of an acquisition are worked out.
- On the bottling side, the integration of SABMiller into A-B has plenty of implications for the sector, even more so if speculation over a Coca-Cola deal escalates.
- Related bottling stocks: COKE, CCE, KOF, OTC:COCSF, OTC:COKEB, OTCPK:CCLAY, OTCPK:CCLAF.
Sun, Jan. 31, 9:37 AM
- Coca-Cola (NYSE:KO) has taken a 40% stake in Nigerian juice and snack producer Chi, as it continues to expand in Africa to tap a young and fast-growing population.
- One industry source said Coca-Cola was paying a "triple-digit-million-dollar" amount for the stake.
- Coke "intends to increase ownership within three years, subject to regulatory approvals while working on other long-term commercial structures", the company said in a statement.
Dec. 7, 2015, 8:11 AM
- Keurig Green Mountain (NASDAQ:GMCR) announces it will be acquired by privately-owned JAB Holding Company for $92 per share in a deal valued at $13.9B. JAB Holding is an experienced collector of large consumer product brands.
- GMCR stakeholder Coca-Cola (NYSE:KO) says it backs the buyout and indicates it will work with JAB to stay on as a major Keurig single-serve partner.
- The deal is expected to close in the first quarter of 2016.
- GMCR closed at $51.70 on Friday. Shares are currently on a trading halt, but will soon skyrocket.
Aug. 19, 2015, 11:38 AM
- Large food companies need to focus on bold M&A and innovation actions over recharging iconic brands, concludes Rabobank in a new report on the sector.
- A shift in consumer preferences has sparked a need to introduce new brands which are on trend - instead of focusing on "innovation-lite" and product reformulation strategies. Buying promising brands at an earlier stage than normal is seen as a forward-thinking strategy.
- Related stocks: KHC, MDLZ, PEP, KO, OTCPK:NSRGY, OTCPK:NSRGF, WWAV, HAIN, K, GIS, POST, CPB, PF, THS.
Aug. 7, 2015, 2:31 AM
- Three Coca-Cola bottlers have agreed to a merger combining $12B in revenue across 13 European countries, as part of a global consolidation push by Coke (NYSE:KO) to cut costs amid slowing sales.
- Under the new tie-up, Coca-Cola Enterprises (NYSE:CCE) would relocate its headquarters to the U.K., merging with Spanish and German operations to form "Coca-Cola European Partners".
- The bottlers expect the move to generate annual cost savings of $350M-$375M within three years.
- Previously: Coca-Cola Enterprises to combine with two other European bottlers (Aug. 06 2015)
Apr. 17, 2015, 9:06 AM
- Coca-Cola (KO +0.5%) agrees to buy China Culiangwang Beverages Holdings for a deal price of $400.5M.
- The acquisition is the first time the company has nabbed a Chinese consumer products firm since 2010.
- China Culiangwang sells multi-grain drinks in the fast-growing plant-based protein drink category.
- Chinese regulators will review the transaction.
- KO -0.26% premarket.
Feb. 14, 2015, 10:13 AM
- Craft soda is starting to become a trend to watch closely, according to industry insiders.
- Though still accounting for only ~1% of the total U.S. soda market, major retail chains have increasingly been willing to bet on local craft brands in store aisles.
- The craft craze is old news for the beer industry where coming-of-age millennials buy craft/local beers at a 50% higher rate than brand-loyal older generations. Fading stars such as Budweiser and Bud Light are testament to the impact of the millennial paradigm.
- The craft influence in coffee hasn't been lost on Starbucks which has strategically deployed trucks on college campuses in an effort to win over students.
- Despite the progressive reputation of Starbucks, analysts think new upstarts such as Craft (subscription) and Cups (app) have a shot of gaining influence with the Indie-minded millennial crowd on "customization" and pricing.
- What to watch: An increase in M&A activity in the beverage sector is expected as major companies strategically pick off more local craft brands to incubate.
- Craft beer watch: BUD, OTCPK:SBMRY, TAP, OTCQX:HEINY, SAM, BREW, STZ, OTC:BIBLF, OTCPK:BRBMF.
- Craft coffee watch: GMCR, SBUX, JVA, SJM, KRFT, DNKN, QSR, MCD.
- Craft soda watch: PEP, KO, MNST, COT, DPS, OTCQB:JSDA, REED, SODA, FIZZ.
Dec. 22, 2014, 10:39 AM
- Wells Fargo turns the spotlight back on the potential unlocked by a combination of Coca-Cola (KO +1.1%) and WhiteWave Foods (WWAV +1.2%).
- The investment firm thinks a deal, full or partial acquisition, is more likely with Coca-Cola in a "partnership" frame of mind.
- WhiteWave brings new categories to the table, while Coca-Cola's enormous distribution network could take WWAV to the next level.
Aug. 16, 2014, 8:25 AM
- So why didn't Coca-Cola (NYSE:KO) just go all the way and acquire all of Monster Beverage (NASDAQ:MNST) instead of stopping at an asset swap and a 16.7% stake?
- More than anything, "it's about protecting the [Coke] brand and the image" from a company that urges consumers to "unleash the beast" with drinks such as Assault and Khaos, said a person close to Coke.
- Coke figures it deals with enough controversy from those who blame sugary sodas for obesity and diabetes; it wants to keep at arm's length from the more serious public relations battles facing the energy drinks industry, including an FDA probe over deaths possibly linked to Monster.
- On the financial side, the deal involves a reasonable $2.1B cash up front, while a full acquisition would have required at least $12B based on Thursday's closing stock price - roughly equivalent to the amount of cash Coke had on hand at the end of July.
- Despite the cautious approach, Coke could still own Monster some day; a standstill agreement limits KO to increasing its stake to 25% over four years, but MNST's board can waive it at any time.
Aug. 14, 2014, 4:51 PM
- Coca-Cola (NYSE:KO) is acquiring a 16.7% stake in Monster Beverage (NASDAQ:MNST) as part of a strategic alliance. Coke will make a $2.15B net cash payment to Monster at the time of the deal's closing, which is expected in late 2014 or early 2015.
- As part of the deal, Monster will transfer its non-energy businesses to Coke, and "enter into expanded distribution agreements." Monster will transfer its Hansens Natural Sodas, Peace Tea, Huberts Lemonade and Hansens Juice Products brands, among others.
- At the same time, Coke will "transfer ownership of its worldwide energy business, including NOS, Full Throttle, Burn, Mother, Play and Power Play, and Relentless," to Monster.
- Coke will have two directors on Monster's board. The partnership follows Coke's February deal with Keurig Green Mountain. Coke: "Our equity investment in Monster is a capital efficient way to bolster our participation in the fast-growing and attractive global energy drinks category."
- Monster: "Our agreement enables us to focus on our core energy business, while leveraging the strength of The Coca-Cola Companys powerful distribution and bottling system on a worldwide scale."
- MNST +25.6% AH.
Jun. 20, 2014, 7:42 AM
Sep. 1, 2013, 2:21 AM
- Coca-Cola Femsa (KOF), the biggest soft-drinks bottler in Latin America, has agreed to acquire Brazil's Spaipa Industria Brasileira de Bebidas in a deal valued at $1.855B.
- The purchase of Spaipa, which generated net revenues of $905M in FY 2013, will increase Coca-Cola Femsa's volume in Brazil by 40%.
- News of the transaction comes days after Coca Cola Femsa completed the acquisition of Brazilian Coke bottler Companhia Fluminense de Refrigerantes for $448M.
- Coca-Cola Femsa is a joint venture between Coca-Cola (KO) and Mexican retail and bottling company Femsa. (PR)
Sep. 13, 2012, 5:31 AM
Thai billionaire Charoen Sirivadhanabhakdi offers S$9B ($7.3B) to acquire the 70% of Singapore's Fraser & Neave he doesn't control in what may be an attempt to prevent Heineken (HINKY.PK) from acquiring F&N's 40% stake in Asia Pacific Breweries for $4.4B. Coca-Cola's (KO) may well be watching with interest, as it's reportedly interested in F&N's beverages operations.| Sep. 13, 2012, 5:31 AM
Aug. 3, 2012, 7:03 AM
Aug. 2, 2012, 10:43 AMCoca-Cola's (KO -0.9%) potential bid to acquire the beverage business of Fraser & Neave is more than a vulture picking at scraps, with the company set to become a dominant player in Malaysia and Singapore if a deal comes off. An acquisition would also bolster Coca-Cola's dairy portfolio, as it tries to keep up with PepsiCo. | Aug. 2, 2012, 10:43 AM