Beverage major the Coca-Cola Company on Wednesday said that it has entered into a strategic agreement with Jubilant Bhartia Group to divest a 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. The two companies did not disclose commercial details

This is in line with the beverage major’s global asset-light strategy. Earlier the company had divested HCCB’s operations in Northern and Eastern region to other independent bottlers.

“Coca-Cola has a long-standing commitment to deliver quality products and experiences to consumers and is continuing to drive sustainable, long-term growth by investing in the opportunities available in India. The investment by the Jubilant Bhartia Group will contribute to the company’s ongoing success and help strengthen its position in the Indian market,” it added.

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Sanket Ray, President of Coca-Cola India, 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.”

Juan Pablo Rodriguez, CEO of Hindustan Coca-Cola Beverages, 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.”

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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. “The Coca-Cola Company is home to some of the most respected global brands and we are delighted to be associated with them,” Bhartia said. “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 transaction is subject to regulatory approval, Jubilant Group added.