Sat, 07 Sep 2013 | BUSINESS SALE
Suntory Beverage & Food is in discussion with GlaxoSmithKline (GSK) over buying two of its most popular brands, Lucozade and Ribena.
The Japanese company has been in secret and detailed discussions with the seller over the past few weeks. If a deal is agreed between the two companies it will pre-empt the auction of the two brands that was set to go ahead later this month. However, anything that is agreed is likely to prove costly for Suntory, with a projected sales figure mooted of around £1.5 billion.
The potential deal, while costly, would put Suntory in a favourable position in the British soft drinks market, making it a major player and competitor to the likes of Coca-Cola and Britvic.
A sale to the Japanese company would no doubt prove frustrating to the private equity firms that have already shown an interest in Lucozade and Ribena. The news agency reported that many of these firms have said privately that they were assured of a full and open auction for the brands.
Blackstone, Lion Capital and PAI Partners are among those thought to be still considering making a bid through an auction if GSK decides to take this route. AG Barr is also thought to have been considering a bid of £1 billion.
GSK stated its intention to sell the brands as part of its efforts to focus more on its core pharmaceuticals business. However, it may still opt out of the business sale or look into pursuing their future in partnership with a buyer.
No comment has been made by the sides of the potential deal, other than a quick confirmation from Suntory to say that “nothing has been decided”.
___________________________________________________________________________
Related information:
GSK puts Lucozade and Ribena on the market
Lucozade and Ribena consolidated ahead of business sale
View the latest food and drink businesses for sale
Specialises in undertaking electrical and mechanical works, offering a comprehensive range of services, from minor works to full turnkey projects. The company also provides a number of hazardous area services, including installations and inspections...
The company offers a wide range of haulage services, including recyclable waste removal, building material haulage, and aggregate haulage. The business owns its fleet of trucks, avoiding borrowing or leasing, resulting in a debt-free and low-overhead...
Provides high-quality industrial and welfare cleaning services, including system boiler and ducting cleaning, filter replacements, general site cleaning, plant driver cover and plant hire.
13
|
May
|
Estate agency makes third acquisition in six months | BUSINESS SALE
Pattinson Estate Agency, a property firm based in Wallsend, ...
13
|
May
|
Access Group acquires finance automation services provider | BUSINESS SALE
SME business management software specialist Access Group has...
13
|
May
|
Military simulations firm acquired at 5x operating profits | BUSINESS SALE
Mabway Limited, a military training and simulations company,...
20
|
Aug
|
Lucozade and Ribena consolidated ahead of business sale | BUSINESS SALE
The Lucozade and Ribena brands have been consolidated by own...
07
|
Feb
|
GSK gets set for drinks business sale | BUSINESS SALE
GlaxoSmithKline (GSK) is investigating a sale of its drinks ...
Business Sale Report is your complete solution to finding great acquisition opportunities.
Join today to receive:
All this and much more, including the latest M&A news and exclusive resources
Please choose your settings for this site below. For more information please read our Cookie Policy
These cookies are necessary for our website to function properly and provide you with access to all features.
These are analytics cookies that help us to improve the way our website works.
These are used to improve the functional performance of the website and make it easier for you to use.