Culminating six decades of Nigerian investment, Coca-Cola expanded further into dairy and juice products in West Africa with an initial share purchase in Chi Ltd.
“Coca-Cola and Chi share the same commitment to Africa, to investing in our operations and to continuous innovation, and our relationship will allow us to continue to provide Nigerian consumers the No. 1 beverage in each of the categories we serve,” Nathan Kalumbu, president, Coca-Cola Eurasia and Africa, said.
As the holding company of Chi Ltd., Nigeria’s leading dairy and juice business, Coca-Cola entered into an agreement to acquire an initial minority shareholding of 40 percent in Chi Ltd. — with plans to increase to 100 percent shareholding within 3 years — establishing a solid partnership to deliver Nigeria’s soft drinks, juices and additional beverages.
“We strongly believe in this journey we are starting with the Coca-Cola Company,” Cornelis Vink, TGI Group and Chi Ltd. chairman, said. “The relationship will allow us to expand our regional footprint and product portfolio. We stay firmly committed to growing our investments in the Nigerian economy, increasing employment and local content while supporting the communities we operate in.”
In 2014, Coca-Cola revealed a 10-year expansion plan in Africa, tripling its previous outlay to support manufacturing sites, distribution, equipment and new job opportunities to the tune of $17 billion.
“We are extremely optimistic about Africa’s continued economic and social growth and recognize the importance of ensuring we stay one step ahead of evolving consumer tastes by broadening our portfolio and introducing new products,” Kelvin Balogun, president of Coca-Cola Central, East and West Africa, said. “Today’s announcement positions both Coca-Cola and Chi well for future growth in what is an exciting time in the beverage industry in Africa.”