Coca-Cola Femsa To Acquire Grupo Tampico Bottling Unit

Coca-Cola Femsa SAB de CV KOF agreed to buy the beverage division of Grupo Tampico for 9.30 billion pesos ($788 million), including the assumption of MXN2.75 billion in debt. The deal has been approved by both Coca-Cola FEMSA's and Grupo Tampico's Board of Directors. The merger agreement is subject to approval by Mexico's antitrust authority and the Coca-Cola Company. "We are enthusiastic to partner with the first franchise in the Mexican Coca-Cola bottling system. This merger will reinforce our Company's leadership position in Mexico and Latin America. The talented team of professionals at Grupo Tampico's beverage division and their passion for execution will certainly enhance our joint operations' go-to-market capabilities, strengthen our diversified portfolio of geographies, and enable us to create value for our shareholders. Henry and Robert Fleishman will continue to play an important leadership role within the Mexican Coca-Cola bottling system and we are honored to have them join our Board of Directors," said Carlos Salazar Lomelin, Chief Executive Officer of the Company. KOF shares gained 0.03% to close at $92.76 yesterday. Read more from Benzinga's Company news.