Coca‑Cola HBC AG (LON:CCH) today announced the acquisition of Bambi, Serbia’s leading confectionery business from funds advised by Mid Europa Partners, a leading buyout investor in Central and Eastern Europe, for an enterprise value of €260 million, subject to certain closing adjustments. Completion of the acquisition is expected in the second quarter of 2019 and is subject to customary closing conditions and regulatory approvals.
Bambi, established in 1967 in Serbia, is a leading regional confectionery business. The company manufactures a range of products including biscuits, wafers and savoury snacks. The company’s brands include Bambi, Plazma, Wellness, Zlatni Pek, and Josh. Its main biscuit brand, Plazma, ranks first in brand recognition in Serbia. In 2018, Bambi recorded revenue of approx. €80 million, of which more than two thirds are generated in Serbia and the rest predominantly in the Western Balkans. Bambi enjoys strong profitability and its EBIT margin is nearly three times higher than that of Coca-Cola HBC.
The acquisition adds market-leading iconic brands in a relevant, adjacent category to the Coca-Cola HBC portfolio in Serbia and in the Western Balkans which are among our fastest growing territories. Bambi offers opportunities for revenue synergies through cross-promotion and complementary innovation and cost efficiencies. The Bambi business also brings a strong distribution network and product portfolio in strategically important channels such as traditional retail and HoReCa.
Zoran Bogdanovic, CEO of Coca-Cola HBC, commented: “This acquisition represents an excellent opportunity to create additional value for Coca-Cola HBC, its customers and shareholders. It adds iconic, complementary consumer brands to our portfolio of leading beverage brands, as well as consumer-focused innovation capabilities. It further strengthens our relevance with customers and allows us to increase our presence in key consumption occasions, such as the start of the day, on the go and at home snacking and refreshment.”