Shyam and Hari Bhartia, promoters of the Jubilant Bhartia Group, are in discussion with asset managers, mutual funds and foreign banks to raise Rs 12,500 crore to acquire a 40 percent stake in Hindustan Coca-Cola Beverages (HCCB), The Economic Times reported.
Discussions are on with Apollo Global Management, Ares Management, Bain Capital and Kotak Alternate Asset Managers to raise at least a third of the amount, or Rs 4,000-5,000 crore, the report said. The talks are led by Shamit Bhartia, non-executive director at Jubilant Industries.
HCCB is reportedly looking to replicate the asset-light, value-unlocking initiative by PepsiCo. This move is expected to facilitate HCCB’s potential public listing and aid in price discovery.
Moneycontrol couldn't independently verify the report.
Coca-Cola has been exploring the sale of HCCB for months. The final stages of negotiations are expected to clarify the deal structure, terms, and other commercial details. The beverage giant is seeking a long-term partnership with generational capital. It has been, accordingly, engaged with family offices rather than private equity funds.
PepsiCo has successfully outsourced its bottling operations to Varun Beverages, owned by billionaire Ravi Jaipuria, which has seen its valuation nearly quadruple since May 2022.
Also Read | Coca-Cola's India bottler HCCB planning an IPO
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