Southern Bottlers (SOBO) Malawi has agreed to sell its soft drinks business to Coca-Cola Beverages Limited (CCBL), a subsidiary of Coca-Cola Beverages Africa (CCBA).
The Castel Group which is the parent of SOBO has announced the sale, saying it is subject to obtaining the necessary regulatory approvals, including approval by the COMESA Competition Commission.
“The divestment of the soft drinks business is in line with the Board’s strategy to focus on investments in its alcoholic beverages business. This is a great opportunity for the country as the CCBA group has a strong track record on the continent and is committed to sustainable growth where it operates,” the company said in a statement.
Southern Bottlers Malawi Limited produces water and soft drinks for retail. The company also owns the Coca-Cola franchise in Malawi which enables it to bottle drinks such as Coca-Cola, Fanta and Sprite.
Castel Malawi Limited was formerly known as Carlsberg Malawi which was established in 1955 when the first Coca-Cola products were produced in Malawi under the company name Nyasaland Bottling Company.
