Mexican acquisition of Coca-Cola may face objection
May 25, 2007
by Eric Schroeder
MEXICO CITY — Coca-Cola FEMSA, S.A.B. de C.V. and The Coca-Cola Co. announced they have been "unofficially" informed by the Comision Federal de Competencia in Mexico (C.F.C.), the Mexican Antitrust Commission, that it objects to the companies’ proposed acquisition of Jugos del Valle, S.A.B. de C.V.
Jugos del Valle is the second-largest producer of packaged juices, nectars and fruit flavored beverages in Mexico, the largest producer in Brazil, and has presence in other Latin American markets. The company had approximately $440 million in total revenues for the 12-month period ended Sept. 30.
"Once we receive the official notification, we will review C.F.C.’s resolution and jointly with Jugos del Valle decide our course of action, including the possibility of contesting such resolution," the companies said.