Coca-Cola Company has announced plans to record an impairment charge of approximately $1 billion in the fourth quarter of 2025 as it moves to sell part of its stake in its African bottling operations.
According to Business Insider Africa, the charge follows an agreement by Coca-Cola Hellenic Bottling Company (HBC) to acquire a 75% stake in Coca-Cola Beverages Africa (CCBA) for $2.6 billion, valuing the African bottler at around $3.4 billion.
The deal, disclosed in a regulatory filing yesterday, marks one of Coca-Cola’s most significant structural changes in its African business portfolio.
Under the terms of the agreement, Coca-Cola HBC will purchase the beverage giant’s 42% share in CCBA as well as the entire holding of Gutsche Family Investments, a long-time bottling partner.
Once completed—expected by late 2026—the transaction will make Coca-Cola HBC the second-largest Coca-Cola bottler globally by volume, trailing only Mexico’s Coca-Cola FEMSA.
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The Swiss-based bottler, listed on the London and Athens stock exchanges, also revealed plans for a secondary listing on the Johannesburg Stock Exchange (JSE), signaling its long-term commitment to Africa.
Coca-Cola HBC will retain an option to buy Coca-Cola’s remaining 25% stake in CCBA within six years of the deal’s closure. The acquisition will expand Coca-Cola HBC’s footprint across 14 African markets, positioning it to benefit from rising beverage consumption among the continent’s young and fast-growing population.
The company noted that the move aligns with its cost-optimization strategy and growth ambitions amid global inflationary and tariff pressures.
Meanwhile, Reuters reported that Coca-Cola Co., headquartered in Atlanta, Georgia, posted strong third-quarter earnings this week, buoyed by increased demand for zero-sugar beverages, dairy products under the Fairlife brand, and carbonated drinks across key international markets.
The African deal is part of Coca-Cola’s broader effort to streamline operations and focus on high-growth regions, even as it contends with cost challenges across its global supply chain.
