Latest news with #HCCB
News18
2 days ago
- Business
- News18
Bhartia Family Likely To Offload Stakes In Three Jubilant Companies Via Block Deals
Last Updated: The Bhartia family, promoters of the Jubilant Group, is preparing to offload partial stakes in its listed entities via block deals The Bhartia family, promoters of the Jubilant Group, is preparing to offload partial stakes in its listed entities via block deals, sources told The move comes as part of a broader strategy to raise funds, possibly linked to its planned investment in the beverage sector. According to sources, the promoter group will sell 1.32 crore shares of Jubilant FoodWorks, 56 lakh shares of Jubilant Pharmova, and 1.2 crore shares of Jubilant Ingrevia through these transactions. In Jubilant FoodWorks, the promoter is expected to divest a 2% stake at a floor price of Rs 641 per share, with Morgan Stanley acting as the broker for the deal. Meanwhile, the Jubilant Ingrevia stake sale will see the Bhartia family offload 7.53% of the company at a floor price of Rs 627.45 per share, representing an 8% discount to the current market price. Earlier, on June 12, Moneycontrol reported that the Bhartia family was eyeing block deals in listed Jubilant firms to help fund its acquisition of a 40% stake in Hindustan Coca-Cola Beverages (HCCB)—the Indian bottling arm of global beverage giant Coca-Cola. The landmark transaction was first announced in December 2023, when Jubilant Bhartia Group revealed it had entered into a definitive agreement to acquire 40% equity in Hindustan Coca-Cola Holdings (HCCH)—the parent of HCCB—through Jubilant Beverages Ltd, for a total consideration of Rs 12,500 crore. HCCB is the single-largest bottling partner for Coca-Cola in India, making the acquisition a major strategic move for the group's future diversification. Jubilant FoodWorks Ltd is the master franchisee for Domino's Pizza in India, Nepal, Sri Lanka, and Bangladesh. It also operates Dunkin' Donuts and Popeyes, alongside its own brands Ekdum! and Hong's Kitchen. As of June 12, the company had a market capitalisation of Rs 43,795 crore. Jubilant Pharmova Ltd, the group's pharmaceutical and contract research arm, operates in sterile injectables, novel drug discovery, CRO services, allergenic extracts, and U.S.-based radio-pharmacy businesses. Its market cap is around Rs 17,760 crore. Jubilant Ingrevia Ltd is the group's demerged life sciences and specialty chemicals business, engaged in the production of vitamins B3 and B4, pyridine derivatives, ethanol, and CDMO (Contract Development and Manufacturing Organization) services. As of June 12, it had a market capitalisation of Rs 10,753 crore. Shares of Jubilant FoodWorks Ltd closed at Rs 665.75 on the BSE, down Rs 20.10, or 2.93%, while Jubilant Ingrevia Ltd ended at Rs 683.45, up Rs 4.80, or 0.71%. Jubilant Pharmova Ltd settled at Rs 1,125, down Rs 19.90, or 1.74%. First Published: June 13, 2025, 07:29 IST
Time of India
3 days ago
- Business
- Time of India
Jubilant promoters eye Rs 2,000 crore via stake sales for Hindustan Coca-Cola Beverages deal
Jubilant Bhartia Group promoters have initiated a process to sell minority stakes in their listed companies to raise Rs 2,000 crore to part-fund the acquisition of a 40% stake in Hindustan Coca-Cola Beverages (HCCB), people familiar with the matter said. The proceeds from the sale of stakes in Jubilant FoodWorks , Jubilant Pharmova , Jubilant Ingrevia and Jubilant Industries will be in addition to the $600 million (Rs 5,100 crore) that Goldman Sachs Asset Management has raised to fund the deal. The group is also in the process of divesting non-core assets across its food and pharma businesses to raise money, the people said. The deal values Coca-Cola's local bottling arm at Rs 31,250 crore including debt. CCI Nod Came in May At this enterprise value, the stake will cost Rs 12,500 crore. Morgan Stanley is advising the promoters on the divestment of noncore assets and sale of minority stakes in the listed firms. The Jubilant Bhartia Group did not respond to an email seeking comment. As per the deal structure, Jubilant Beverages will acquire HCCB shares from Coca-Cola entities, while another group company Jubilant Bevco and an investor consortium led by funds managed by Goldman Sachs Asset Management will subscribe to compulsorily convertible preference shares in Jubilant Beverages. The financing structure includes Rs 5,650 crore of debt, CCPS and the remainder through an equity infusion from Jubilant's holding company, Jubilant Bhartia Consumer Ltd. The deal, announced in December 2024, received approval from the Competition Commission of India on May 1. Promoters own a 41.9% stake in Jubilant FoodWorks , which holds exclusive India franchise rights for US restaurants Domino's Pizza, Popeyes and Dunkin' Donuts and runs Hong's Kitchen. Mutual funds and foreign institutions hold 25.8% and 20.5%, respectively, while the remaining is split among retail and other domestic institutions, as per disclosures by the company. In Jubilant Pharmova (formerly Jubilant Life Sciences), which deals in radiopharma and contract research development of drugs, a majority 50.68% is held by the promoter and promoter groups, while retail and other investors hold 25.06%. Foreign institutions hold 17.22% of the company and the remaining is held between mutual funds and other domestic institutions. Jubilant Ingrevia, the chemicals company, too has a dominant 51.5% shareholding with the promoters, with the rest split among foreign and domestic institutions and the public. In Jubilant Industries, the group's agri and performance polymers business, promoters own 74.78%, with retail investors holding 24.89%. The Jubilant Bhartia Group has already started the process of integration with HCCB. While both businesses will draw direct synergies in foods and beverages, Jubilant FoodWorks has decided to halt expansion of its smaller businesses such as Dunkin' Donuts and Hong's Kitchen to focus primarily on Domino's Pizza, which had a store count of 2,179 across 475 cities as of end-March 31.
Yahoo
02-05-2025
- Business
- Yahoo
Jubilant Bhartria Group gets nod to acquire 40% of Coca-Cola's India bottler
India's Jubilant Bhartia Group has received approval from India's competition watchdog to acquire a 40% stake in Hindustan Coca-Cola Holdings, of which The Coca-Cola Company's Hindustan Coca-Cola Beverages is a subsidiary. The Competition Commission of India (CCI) gave its nod to the deal yesterday (1 May). The transaction will see see Jubilant Bhartria's drinks subsidiary Jubilant Beverages Limited takeover the stake from Hindustan Coca-Cola Overseas Holdings and Bharat Coca-Cola Overseas Holdings, according to the CCI's statement. The deal with Jubilant Bhartria was agreed in December, with no financial details disclosed. However, Indian media reports at the time pegged its value between Rs100bn ($1.18bn) and Rs125bn ($1.47bn). When the deal was signed, The Coca-Cola Company said the Indian conglomerate's investment would 'strengthen its position in the Indian market'. Sanket Ray, the president of Coca‑Cola's India and South West Asia business unit also said the investment would 'accelerate the CocaCola system', allowing the company to 'win in the market and provide greater value'. Headquartered in Bangalore, Karnataka, HCCB operates across 12 states and 236 districts in South and West India. It runs 13 factories and sells 37 products under eight brands, including Coca-Cola, Thums Up, and Sprite. Besides HCCB, Coca-Cola also operates in India through Coca-Cola India. Separately from the deal with Jubilant Bhartria, in December, HCCB also agreed to sell its bottling operations in the Indian state of Jharkhand to Moon Beverages. In a statement to Just Drinks at the time, Hindustan Coca-Cola Beverages said the deal is a 'significant decision' as it aims to ensure the 'right level' of investment across all areas of the business, while achieving both 'scale and continuity'. "Jubilant Bhartria Group gets nod to acquire 40% of Coca-Cola's India bottler" was originally created and published by Just Drinks, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
News18
02-05-2025
- Business
- News18
Jubilant Bhartia Group Gets CCI Approval To Acquire 40% Stake In Coca-Cola's Bottling Arm
Last Updated: CCI clears Jubilant Beverages' 40% stake acquisition in HCCH, marking a key strategic move in India's beverage sector The Competition Commission of India (CCI) has approved the proposed acquisition involving Jubilant Beverages Limited (JBL). Under the transaction, JBL will acquire a 40% shareholding in HCCH, marking a significant strategic move in the beverage and consumer goods sector. In December, Coca-Cola announced a strategic agreement with the Jubilant Bhartia Group to divest a 40% stake in Hindustan Coca-Cola Holdings (HCCH), the parent entity of Hindustan Coca-Cola Beverages (HCCB) — the company's largest bottling arm in India. Sources familiar with the deal, who have signed non-disclosure agreements, earlier told News18 that the transaction is valued at approximately Rs 12,500 crore, placing HCCB's total valuation at around Rs 31,250 crore. Sanket Ray, President of Coca-Cola India and Southwest Asia, in a press note, had said Jubilant's expertise would help accelerate the Coca-Cola system's growth and deepen its value to consumers and communities. The partnership aligns with Coca-Cola's global asset-light strategy, which involves refranchising its bottling operations. Jubilant Bhartia Group, advised by Morgan Stanley, is expected to fund the deal in partnership with Goldman Sachs, with Jubilant contributing around 40% of the capital. HCCB, which operates primarily in South and West India, manufactures and distributes 60 beverages, including Coca-Cola, Thums Up, Sprite, Minute Maid, Maaza, and Kinley. In FY24, HCCB reported a 10.1% increase in revenue to Rs 14,021.54 crore and a threefold rise in net profit to Rs 2,808.31 crore. Jubilant FoodWorks, part of the Bhartia Group, operates franchise rights for Domino's, Dunkin', and Popeyes in India. First Published: May 01, 2025, 19:27 IST
Yahoo
23-04-2025
- Business
- Yahoo
Kandhari Global Beverages deal for Hindustan Coca-Cola assets gets green light
India's competition watchdog has waved through Kandhari Global Beverages' acquisition of a set of assets from Hindustan Coca-Cola Beverages. In a brief statement issued yesterday (22 April), the Competition Commission of India said it had approved the deal between the two Coca-Cola bottlers, which had been drawn up earlier this year. Kandhari Global Beverages supplies and distributes products for The Coca-Cola Company in the Indian state of Rajasthan. The group is buying Hindustan Coca-Cola Beverages' (HCCB) assets northern Gujarat and Diu. Kandhari Global Beverages has factories in states including Haryana, Punjab and Himachal Pradesh. Last month, Varinder Pal Singh Kandhari, the managing director of Kandhari Global Beverages, reportedly indicated the company's ambitions to expand outside India. 'We do look forward to being global someday, i.e., beyond the boundaries of India, if there's an opportunity that ever comes up from the Coca-Cola Company,' Kandhari was quoted as saying by business outlet Mint. 'As of now, whatever they had to re-franchise they have. But there could be other opportunities coming up.' In December, The Coca-Cola Co. agreed to sell a 40% stake in Hindustan Coca-Cola Holdings, the owner of HCCB, to Jubilant Bhartia Group. With 14 factories across ten Indian states, HCCB manufactures and sells 37 products across eight brands, including soft drinks such as Coca-Cola, Thums Up and Sprite. December also saw HCCB offloaded its bottling operations in the Indian state of Jharkhand to Moon Beverages. At the start of last year, the group sold three bottling operations to SLMG Beverages, Moon Beverages and Kandhari Global Beverages. The latter snapped up assets in Rajasthan. "Kandhari Global Beverages deal for Hindustan Coca-Cola assets gets green light" was originally created and published by Just Drinks, a GlobalData owned brand. The information on this site has been included in good faith for general informational purposes only. It is not intended to amount to advice on which you should rely, and we give no representation, warranty or guarantee, whether express or implied as to its accuracy or completeness. You must obtain professional or specialist advice before taking, or refraining from, any action on the basis of the content on our site. Sign in to access your portfolio
