FDBusiness.com

Refresco has acquired Cott Corporation’s concentrate manufacturing business in Columbus, Georgia – Cott Beverages LLC for US$50 billion. Cott Beverages LLC is a leading developer and manufacturer of soft drink concentrates for bottlers in more than 70 countries. The business generated approximately $80 million in sales during 2018 including concentrate production directly supporting Refresco’s beverage manufacturing business.

The transaction follows Refresco’s acquisition of Cott’s bottling business in January 2018 and includes the RCI International division, which Refresco has agreed to sell to RC Global Beverages, which aims to actively develop branded beverages worldwide.

Refresco is the world’s largest independent bottler of beverages for retailers and A-brands with production in Europe and North America. The company has pro forma volumes and revenue of circa 11.6 billion litres and circa €3.6 billion, respectively.

Hans Roelofs, chief executive of Refresco, comments: “We are pleased to add Cott’s Columbus concentrate manufacturing facility to Refresco North America. It adds extensive innovation capabilities and skills and creates a global center of excellence for beverage concentrate manufacturing. It is a perfect fit with our business. We have decided to divest the RCI International branded activities and find an owner who can bring similar focus and continuity to this iconic brand. With RC Global Beverages, we believe we have found an excellent match. The sale of Columbus from Cott to Refresco and the sale of the RCI International activities from Refresco to RC Global Beverages took place simultaneously.”

Tom Harrington, chief executive of Cott, says: “This transaction is the final step in the transformation of our business where selling the remaining business unit of the traditional carbonated soft drinks business is consistent with our strategy of accelerating the growth across our platform in water, coffee, tea, extracts and filtration solutions. We want to thank all the associates of Cott Beverages LLC for their contributions and wish them well as they rejoin their former traditional bottling business colleagues and become a part of Refresco.”