The Coca-Cola Company, Nigeria, has fully acquired Chi Limited in a private equity deal.
The President, Coca-Cola West Africa, Peter Njonjo, while speaking during a press briefing on Thursday, described the acquisition as a testament to the company’s commitment to being a total beverage company to meet the changing tastes and needs of consumers.
He said the acquisition was spurred by a shift in the taste of consumers.
He noted that a majority of the customers of Coca-Cola were of the lower income cadre, adding that Chi, on its part, was relevant to the Nigerian market, especially in terms of low prices.
According to Njonjo, Coco-Cola acquired 60 per cent stake in Chi on January 30, 2019, in addition to the 40 per cent earlier acquired on January 29, 2016.
This brings the total percentage ownership of Chi Limited by Coca-Cola to 100 per cent.
Njonjo, however, noted that Chi Limited would continue operations as an independent company, while its products would be distributed internationally.
Njonjo said, “Our objective is to grow both the Chi and Hollandia units to a global multi-billion dollar brand.
“This acquisition is a testament to how we will achieve our objectives and it is also a celebration of entrepreneurship.
“We will not collapse the Chi brand or any of its products. Doing that will only make the company lose the attractiveness that it had before the acquisition.
“Rather, we will continue to grow both brands and employees in order to grow our customer base and strengthen our market share.”
He said the acquisition would enable the company to expand its products and serve customers a wider range of beverages and snacks.
“This acquisition will serve as a motivation to entrepreneurs in Africa,” Njonjo added.