The deal is still pending regulatory approval, according to a statement submitted to the Nigerian Exchange Limited on Wednesday.
Nigerian food and beverage company Chivita|Hollandia offers a variety of value-added dairy products, juices, nectars, still drinks, and snacks. The Hollandia and Chivita brands are owned by them.
UAC Group Managing Director Fola Aiyesimoju commented on the deal, saying, “As a company with a strong presence in Africa, we are deeply committed to the continent’s growth.” We are happy to announce that Chivita|Hollandia (CHI Limited), a prominent dairy and juice company in the area, has been acquired.
“There is a great chance to expand on Chivita|Hollandia’s (CHI Limited) history of quality and innovation with this acquisition. I express my gratitude to the management and employees of Chivita|Hollandia (CHI Limited) and look forward to collaborating with them to support the company’s upcoming growth phase.
According to Eelco Weber, managing director of Chivita|Hollandia, the company has advanced significantly in recent years, with the Hollandia and Chivita brands emerging as distinct leaders in their respective markets.
“I want to express my gratitude to our more than 5,000 employees for their tireless efforts in advancing our company and helping us become a Gold-rated Great Place to Work,” Weber stated.
Weber and the rest of the management team expressed optimism about the company’s future growth.
“We think Chivita|Hollandia has a bright future,” Weber stated. “There will be exciting opportunities for further growth given the strength of our team and UAC’s dedication.”
UAC received legal advice on the transaction from Templars and Fasken Martineau LLP. The Coca-Cola Company has Citi as its only financial advisor and McDermott Will & Emery as its legal counsel.
The deal, according to UAC, was a key turning point in its expansion plan that increased its footprint in Nigeria’s fast-moving consumer goods industry.
It complements The Coca-Cola Company’s approach to run an adaptable, asset-light business model and concentrate on brands with the biggest growth potential. As long as a stable and supportive climate is in place, the Coca-Cola system is still dedicated to its recent announcement that it will invest $1 billion in Nigeria over five years. The announcement further said, “This investment highlights the significance of Africa as a long-term growth opportunity for the Coca-Cola system.”
