NETHERLANDS – Coca-Cola Hellenic Bottling Company (HBC), a consumer-packaged goods business and strategic bottling partner of The Coca-Cola Company, has agreed to acquire the Finlandia vodka brand for US$220 million from Brown-Forman.
The proposed transaction is being made through Coca-Cola HBC’s subsidiary, CC Beverages Holdings II BV, and is expected to conclude in the second half of 2023 subject to regulatory approvals.
Founded in 1970, Finlandia is a leading vodka brand in Central and Eastern Europe with annual volumes of 2.7 million nine-liter cases worldwide, of which more than 60% is produced within the Coca-Cola HBC geographical footprint.
Finlandia is bottled by the Anora Group in Finland under a long-term production service agreement and is available in neat and several flavored versions.
The transaction represents a unique opportunity for Coca-Cola HBC that enhances its journey toward becoming the leading 24/7 beverage partner and bolsters its reputation in the premium spirit market.
It will also create new opportunities for the company in premium and super-premium non-alcoholic ready-to-drink (NARTD) products and strengthen partnerships with customers in strategic key channels, such as hotels, restaurants, and catering (HoReCa).
Zoran Bogdanovic, CEO of Coca-Cola HBC, said: “Having been associated with the distribution of Finlandia for 17 years in several markets, we are excited by this unique and regionally relevant opportunity that will support the acceleration of our on-premises business across more of our markets.”
“The proven complementarity of our premium spirits business with our strong NARTD portfolio enables us to offer solutions for a broad range of 24/7 consumption occasions, particularly socializing moments. We view this as an attractive investment and a natural evolution of our role as one of Finlandia’s distribution partners, further attesting to the strength of our time-tested and wide-ranging partnership with Brown-Forman.”
Lawson Whiting, CEO of Brown-Forman believes Coca-Cola HBC is well-suited to support Finlandia’s future stages of development.
He also expressed confidence that Coca-Cola HBC’s growth ambitions and capabilities in premium spirits, its critical mass, and execution excellence, coupled with its leading sales and distribution credentials in the markets where it operates, will accelerate Finlandia’s growth trajectory.
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