SABMiller sells juice business in Colombia
29 June 2006
SABMiller plc (“SABMiller”) announces that its Colombian subsidiary Bavaria S.A. (“Bavaria”) has entered into an agreement to sell its fruit juice business through a sale of 100% of the equity interest in Productora de Jugos (a fruit pulp business located in Tuluá), the Tutti Frutti and Orense trademarks and certain assets associated with juice production, to the Colombian beverage company Postobón S.A. (“Postobón”), for a cash consideration of US$55.3 million. In the year to December 2005, Bavaria sold approximately 700 thousand hectolitres of juices. This transaction is subject to the review and approval of the Colombian competition authorities.
Postobón, which is part of the Organización Ardila Lülle, is a producer of soft drinks, water and fruit juices and is seeking to develop its fruit and juice exports to international markets following the ratification of the Free Trade Agreement with the United States.
In addition, SABMiller has signed a co-operation agreement with Carbe, the majority shareholder of Postobón, which includes an intention to assist Postobón in the development of its international markets. The agreement includes, inter alia, a right of first refusal in favour of SABMiller, in the event of a sale of the Postobón beverage business.
Notes to editors:
SABMiller plc is one of the world’s largest brewers with brewing interests or distribution agreements in over 60 countries across five continents. The group’s brands include premium international beers such as Miller Genuine Draft, Peroni Nastro Azzurro and Pilsner Urquell, as well as an exceptional range of market leading local brands. Outside the USA, SABMiller plc is also one of the largest bottlers of Coca-Cola products in the world.
In the year ended 31 March 2006, the group reported US$2,626 million adjusted pre-tax profit and a turnover of US$15,307 million. SABMiller plc is listed on the London and Johannesburg stock exchanges.
Postobón S.A., a flagship Company of the Organización Ardila Lülle, is the market leader in the carbonated soft drinks sector in Colombia. The company’s brands include Colombiana, Postobón and Pepsi.
This announcement is available on the company website: www.sabmiller.com
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