American soft drink maker Coca-Cola has entered into a strategic agreement to sell 40 per cent of its stake in Hindustan Coca-Cola Holdings to Jubilant Bhartia Group.

Hindustan Coca-Cola Holdings is the parent company of Hindustan Coca-Cola Beverages (HCCB), the largest Coca-Cola bottler in India. 

“The Coca‑Cola Company today announced that it has reached an agreement with the Jubilant Bhartia Group, a multi-billion conglomerate with a global presence in diverse sectors, to acquire a 40% stake in Hindustan Coca‑Cola Holdings Pvt. Ltd., the parent company of the largest Coca‑Cola bottler in India, Hindustan Coca‑Cola Beverages Pvt. Ltd,” as per a press release on the beverage maker's website.

The exact amount of the deal was not disclosed.

The Jubilant Bhartia Group will bring invaluable experience and insights to our business as we continue to grow our presence in India, said Henrique Braun, President of International Development for The Coca-Cola Company.

“We welcome Jubilant Bhartia Group to the Coca-Cola System in India. With its diverse experience in various sectors, Jubilant brings decades of rich experience that will help accelerate the Coca-Cola system, enabling us to win in the market and provide greater value to local communities and consumers,” said Sanket Ray, President of Coca-Cola India & Southwest Asia operating unit.

Shyam S. Bhartia, Founder and Chairman, and Hari S. Bhartia, Founder and Co-Chairman of the Jubilant Bhartia Group, said their deep understanding of the Indian market, combined with The Coca Cola Company's global perspective, will further enhance HCCB’s value and accelerate its impressive growth trajectory.

"This investment underscores our belief in the significant long-term growth potential of India’s F&B sector and aligns with our strategic intent to expand and diversify into high-growth industries,” they added.