Jubilant Bhartia Group acquires 40% stake in Coca-Cola’s bottling arm for ₹12,500 crore

In a major development, the Bhartia family of the Jubilant Bhartia Group has secured a 40% stake in Hindustan Coca-Cola Beverages Pvt Ltd (HCCB), Coca-Cola’s bottling arm in India, for ₹12,500 crore. This acquisition marks a significant shift in Coca-Cola’s operations in India and underscores the growing influence of the Jubilant Bhartia Group in the country’s beverage sector.

A joint statement from Coca-Cola and Jubilant Bhartia Group confirmed the deal, noting that Coca-Cola has sold a 40% stake in HCCB, the largest Coca-Cola bottler in India, to the multi-billion-dollar conglomerate, which has a global presence across diverse sectors.

“This move is a significant milestone as Coca-Cola continues its mission to refresh the world and make a meaningful impact,” the statement added.

The acquisition places the Bhartia family at the forefront of India's beverage industry. HCCB, which produces 37 products across categories like soft drinks, juices, and energy drinks, plays a pivotal role in Coca-Cola India’s revenues. India, Coca-Cola’s fifth-largest market by volume, presents immense growth potential, given the relatively low per capita consumption of packaged soft drinks.

To fund this major acquisition, the Bhartia family has partnered with Goldman Sachs, ensuring their conglomerate avoids over-leveraging. Goldman Sachs will later syndicate the investment to domestic mutual funds and foreign banks. Previously, the Bhartias had explored alternative financing options with Bain Credit, Apollo Global Management, and others.