Coca-Cola is gearing up for a potential initial public offering (IPO) of its African bottling business as soon as next year, Bloomberg News has reported, citing people familiar with the matter.
It may seek a valuation of more than $8 billion (€7.48 billion) for the business, the report said, adding that the deliberations were at an early stage and the offering details could change.
Coca-Cola declined to comment on the news, when contacted by Reuters.
Coca-Cola Beverages Africa
Last year, the company had noted during its third-quarter earnings it remains committed to listing Coca-Cola Beverages Africa (CCBA) as a public company once market conditions become more favourable.
The company in 2021 had said it was planning to list CCBA in 18 months, with primary listing in Amsterdam and a secondary listing on the Johannesburg Stock Exchange (JSE).
In 2022, Coca-Cola delayed plans of an estimated $3 billion IPO of CCBA, due to turbulence in the market mainly rising from the Russia-Ukraine war, which had resulted in shaky investor confidence and a dry spell for IPOs globally.
If listed, the flotation of the division would have been the biggest on the JSE since at least 2016 and a major boost for the flagging index.
Recycling In Namibia
Last week, Coca-Cola Beverages Africa unveiled a new PET flaking plant in Okahandja, Namibia, which will double the capacity of the only mechanical recycler of plastic waste in the country. The facility, which will be operated alongside Plastic Packaging, follows a N$24 million (€1.2 million) investment.
“The Coca-Cola system aims to drive systemic change through a circular economy for packaging," commented CCBA chief public affairs, communication and sustainability officer, Tshidi Ramogase. "We are leading the industry to help collect and recycle a bottle or can for every one we sell by 2030."
Additional reporting by ESM
