Jubilant Promoters Tap MFs, HNIs for Coca-Cola Stake

Jubilant Bhartia Group plans to finance its ₹12,500-crore deal to acquire a 40% stake in Coca-Cola’s Indian bottling business through debt raised from mutual funds (MFs), family offices, and high net-worth individuals (HNIs). This move will reduce overall capital costs. The promoters secured a committed credit line from Goldman Sachs for the entire deal size. By raising funds domestically, they aim to optimize their financial structure and control financing terms.

The deal will give Jubilant control over Hindustan Coca-Cola Holdings, which manufactures, packages, and distributes Coca-Cola beverages in India. This acquisition aligns with Jubilant’s strategy to diversify into high-growth industries and expand its portfolio. The Coca-Cola bottling business represents a significant opportunity for growth, given the strong market demand for beverages in India.

This strategic acquisition will provide substantial benefits to Jubilant Bhartia Group. It enables them to capitalize on Coca-Cola’s robust distribution network and brand strength. The move will also strengthen the group’s presence in the consumer goods sector, leveraging synergies between its existing businesses and the new bottling operations. This approach aligns with Jubilant’s long-term vision of sustainable growth and market leadership.