Carlsberg purchasing PepsiCo bottling business in Georgia, Armenia

TBILISI. Oct 5 (Interfax) - The Carlsberg group is purchasing Georgia's Iberia Refreshments and JI Pepsi Cola Bottler Armenia, PepsiCo's bottling partners on both markets, Carlsberg reported.

Both companies currently belong to investment company Revery.

"This follows the recently announced expansion of the partnership in Azerbaijan [...] Furthermore, adding the two markets will create a strong cluster in the South Caucasus [...] Following completion of the entire transaction, Georgia and Armenia will become Carlsberg Group operating markets," the press release reads.

The purchase agreements have been signed and the deal with JI Pepsi Cola Bottler Armenia must now be approved by Armenia's regulatory authorities.

Carlsberg Group will have bottling agreements with PepsiCo on 17 markets - the UK, Ireland, Norway, Sweden, Switzerland, Kazakhstan, Kyrgyzstan, Laos and Cambodia, as well as Denmark, Finland, Estonia, Latvia and Lithuania from 2029, Azerbaijan from 2027, and Georgia and Armenia.

Iberia Refreshments said that it would cooperate with PepsiCo in the production, sale and distribution of PepsiCo's non-alcoholic beverages as part of its partnership with Carlsberg Group. Carlsberg will take on a portfolio of the local brands of Iberia Refreshments, including Iberia Lemonade, Maxx Power Energy Drink and Maxx Coffee.

"At the current stage of the company's everyday activities, nothing will change. After the deal is complete, Carlsberg Group will work closely with the management of Iberia Refreshments to assess the business, define the future operating model and manage the integration process," the Georgian company said in a statement.

Iberia Refreshments is PepsiCo's official distributor in Georgia and produces carbonated and still non-alcoholic beverages such as Pepsi, Mirinda, 7up and Lipton Ice Tea in PET bottles, aluminum cans and glass bottles. The company is one of Georgia's top three biggest producers of non-alcoholic beverages.