Global beverages major Coca-Cola has sold 40 per cent stake in its India bottling business Hindustan Coca-Cola Beverages Pvt Ltd (HCCBL) to Jubilant Bhartia Group.

Though the company has not disclosed the amount of the deal, some media reports have pegged it at around Rs 10,000 crore.

"The Coca-Cola Company today announced that it has reached an agreement with Jubilant Bhartia Group, a multi-billion conglomerate with global presence in diverse sectors, to acquire 40 per cent stake in Hindustan Coca-Cola Holdings Pvt Ltd, the parent company of the largest Coca-Cola bottler in India, Hindustan Coca-Cola Beverages Pvt Ltd," a joint statement said.

These changes and investment represent a significant milestone for Coca-Cola as the company continues to pursue its purpose to refresh the world and make a difference, it said.

"With its diverse experience in various sectors, Jubilant brings decades of rich experience that will help accelerate the Coca-Cola system, enabling us to win in the market and provide greater value to local communities and consumers,” Coca-Cola India President Sanket Ray said.

India is the fifth largest market of Coca-Cola globally.

The Atlanta-headquartered firm is divesting bottling operations globally as part of its asset-light strategy.

In India, the company had franchised its bottling operations to its existing bottlers in three key markets - Rajasthan, Bihar, Northeast, and parts of West Bengal to its existing bottlers.

Hindustan Coca-Cola Beverages CEO Juan Pablo Rodriguez said:”This strategic investment represents an important milestone in our journey. Jubilant Bhartia Group’s expertise, complements our strengths, ensuring that we continue delivering exceptional value to our stakeholders while driving innovation and sustainable progress.” Shyam S Bhartia, Founder and Chairman and Hari S Bhartia, Founder and Co-Chairman of Jubilant Bhartia Group, said the investment is an ideal addition to their business.

“Together, we will leverage opportunities to grow the business to greater heights and ensure more Indian consumers can enjoy The Coca-Cola Company’s refreshing portfolio of iconic local and international brands,” the statement quoted them as saying.

Coca-Cola operates in the Indian market with two entities - Coca-Cola India and its bottling arm Hindustan Coca-Cola Beverages Pvt Ltd.

Coca-Cola India, which takes care of branding and other business, had reported a consolidated revenue of Rs 4,713.38 crore in FY24. Its profit was down 41.82 per cent to Rs 420.29 crore.

HCCBL's revenue was up 10.10 per cent to Rs 14,021.54 crore in FY24 and the net profit soared three-fold to Rs 2,808.31 crore. HCCBL manufactures and sells 60 different products across 7 categories.

Its products include Coca-Cola, Thums Up, Sprite, Minute Maid, Maaza, SmartWater, Kinley, Limca, Fanta, and a lot more.

HCCBL had realised an aggregate consideration of Rs 3,859.65 crore of customary working capital adjustments and deal incidental costs.

"The aggregate profit on sale of the said undertakings amounts to Rs 2,526.7 crore (before tax)", it said.

Jubilant Bhartia Group's Jubilant FoodWorks is a leading QSR chain operator in India and has businesses in other parts of the world also.

Jubilant's network comprises 3,130 stores across six markets– India, Turkey, Bangladesh, Sri Lanka, Azerbaijan and Georgia.

The group has a portfolio of QSR brands in emerging markets with franchise rights for three global brands- Domino’s, Popeyes and Dunkin’– and two own-brands, Hong’s Kitchen, an Indo-Chinese QSR brand in India, and a CAFÉ brand- COFFY in Turkey.

The Coca-Cola Company re-entered the Indian market in 1993 after acquiring a host of brands including Thums Up from Ramesh Chauhan of Parle Bisleri.

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