Soda manufacturer Coca-Cola halted its collaboration with AB InBev in Africa. The Belgian brewer owns more than half of Coca-Cola Beverages Africa and manufacturers and distributes Coca-Cola's sodas in Africa.
AB InBev currently controls 57 % of Coca-Cola Beverages' shares thanks to its SABMiller acquisition, but Coca-Cola now wants to buy back those shares. Coca-Cola Beverages Africa handles the soda production for 12 South and East African nations and represents 40 % of the continent's market.
When Coca-Cola and SABMiller signed a deal, the soda manufacturer added a clause giving it the right to find another partner in case one of Coca-Cola Beverages' shareholders was acquired by another party. As that is the case here, Coca-Cola does not seem to want to work with AB InBev in this case.
“The company has chosen to exercise its right to acquire ABI’s stake in CCBA because it intends to implement its long-term strategic plan in these markets with other partners", the company said. However, in several other markets like El Salvador and Honduras, the soda manufacturer will work with AB InBev, even after its acquisition of SABMiller.