Becoming the African Anchor Coke Bottler

研报英文原文证据摘录

Becoming the African Anchor Coke Bottler

Coca-Cola Hellenic (CCH LN)

Equity Research

June 29, 2026

Executive Summary

The acquisition of CCBA transforms CCH into the second-largest coke bottler globally by volume and

the anchor bottler across Africa. The central question for investors is whether the structural growth

upgrade justifies the incremental complexity and risk as the company takes on inherently more volatile

markets that require some CCH TLC. We believe it does given the compelling longer term demographic

and per capita consumption opportunities alongside opportunities to dial up execution at CCBA given

CCH's execution playbook.

The deal. CCH is acquiring a 75% stake in CCBA adding 14 new African markets to its existing We expect deal will take ND/EBITDA to 1.6x

operations in Nigeria and Egypt. Combined entity will cover +50% of Africa's population, +60% of (guide1.5x-2.0x), and be 2.7% EPS accretive

Africa's GDP, and +2/3 of the continent's coke system volume. Completion on track for end-2026, in F27 (guide LSD).

with 4/6 regulatory approvals secured. The deal is funded via a €1.4 billion bond issuance (~4%

coupon) and 21 million new shares to GFI.

Egypt proves the playbook works. Since acquiring CCBCE in Jan 2022, CCH has gained +1.7pp Success in Egypt took place while navigating

of NARTD share in year one and a further +1.8pp of NARTD value share over the subsequent two inflation, FX devaluations, and a consumer

years. Key milestones: boycott.

Route-to-market overhaul: across 200,000 outlets•

Coolers: 20,000 new coolers were deployed (fleet >90,000)•

IT software: the business was migrated onto S/4HANA•

Portfolio: launch of energy and activation of Schweppes•

FY25 org vols grew +13.2%; and 2026 has continued the positive trend. Profitability has also