The move supports Coca-Cola’s asset-light strategy, further lowering its stake in India’s bottling business while giving local partners greater control
Coca-Cola India has declared the sale of its bottling operations in North Gujarat to Kandhari Global Beverages Group, one of its top four independent franchisee bottlers, for nearly Rs 2,000 crore. This transaction is part of Coca-Cola’s ongoing effort to implement its asset-light business model and streamline its operations in India.
The North Gujarat bottling operations were previously managed by Hindustan Coca-Cola Beverages (HCCB), which the Jubilant Bhartia Group partially owns. This deal continues the beverage giant’s strategy of vesting local regulatory compliance with independent bottlers and Indian business houses.
Coca-Cola’s stake in HCCB is now reduced to 40 per cent following a previous sale of a 40 per cent stake to the Jubilant Bhartia Group in December 2024 for Rs 12,500 crore (USD 1.47 billion). Post-deal, the company’s bottling operations are divided among HCCB, which oversees 15 manufacturing plants, and 10 independent franchise partners.
Coca-Cola’s global earnings statement revealed that it earned USD 303 million from refranchising bottling operations in India in 2024. This deal follows previous refranchising moves in Rajasthan, Bihar, West Bengal, and the Northeast last year to local bottling partners such as Moon Beverages, Kandhari Global, and SLMG Beverages.
In addition, the company has declared that HCCB is investing Rs 3,000 crore into manufacturing in Gujarat in 2023, strengthening its presence in the region even as its share of the bottling business decreases.
