Varun Beverages acquires PepsiCo franchise rights for South, West India

By: | Published: February 19, 2019 4:22 AM

Varun Beverages, the bottling partner of PepsiCo India, has acquired the franchise rights for the southern and western regions for bottling, sales and distribution.

varun beverages, pepsicoIn a regulatory filing, Varun Beverages said its board has approved a binding agreement with PepsiCo India for the same.

Varun Beverages, the bottling partner of PepsiCo India, has acquired the franchise rights for the southern and western regions for bottling, sales and distribution. The company already has the bottling rights for north and east India. Post acquisitions, the company will be a franchisee of PepsiCo’s beverages business across 27 states and seven Union Territories of India.

In a regulatory filing, Varun Beverages said its board has approved a binding agreement with PepsiCo India for the same. In its next board meeting, the company will also consider raising funds via qualified institutional placement (QIP).

“The proposed acquisitions are in line with the company’s strategy to expand into contiguous territories and will help to acquire greater scale, operational productivity and efficiency leading to higher revenues and profitable growth,” Varun Beverages said.

Varun Beverages stock closed up 1.24% at `774 on the BSE.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Switch to Hindi Edition