Corporacion Lindley S.A., Peru’s sole Coca-Cola bottler, and Arca Continental S.A.B., which operates in Mexico, Ecuador, Argentina and the U.S., recently agreed to combine operations in an effort to drive growth and added value.
The new combined company will operate under the Arca Continental name.
Arca, which has revenues of nearly $5.4 billion, acquired 53.16 percent of the voting shares for Corporacion Lindley from various members of the Lindley family at a cost of $760 million. It also has agreed to purchase another 1,459,941 in investment shares.
In return, the Lindley family will purchase 64.5 million Arca shares for $400 million.
“The union of two winning entities with a solid organizational culture will drive the value creation strategy that we have been implementing throughout our history, and will enable us to strengthen the competitiveness and leadership of our products in the region, as always, under a framework of sustainability and social responsibility,” Manuel L. Barragan Morales, chairman of the board for Arca Continental, said.
The transaction already has been approved by The Coca-Cola Company as well as the boards of directors of both companies.
“It is time to continue growing and taking on new challenges, consolidating and materializing the vision and initiative of my father, Johnny Lindley Taboada, who always believed in the future of globalization,” Johnny Lindley Suarez, chairman of the board for Corporacion Lindley, said. “The decision to seal this Alliance of Corporacion Lindley with Arca Continental began with him and is now complete. Together we will maximize our businesses in terms of quality and quantity. We are evolving from a centennial bottler in Peru to becoming part of a multinational food and beverage company with an excellent outlook and reputation throughout the entire continent, which maintains the best global practices.”
