Britvic shares rise 4.8% on Carlsberg's £3.3 billion takeover bid.

From Morningstar: 2024-07-08 08:22:00

Shares in Britvic, a UK soft drinks maker, soared 4.8% following a £3.3 billion takeover bid by Carlsberg. The deal will create Carlsberg Britvic, with shareholders receiving a special dividend of 25p per share. Carlsberg’s second bid was accepted after the original offer was rejected for undervaluing the company.

Carlsberg aims to expand its UK operations with the Britvic acquisition, enhancing its partnership with PepsiCo. While some shareholders question the move when Asian and Southern European markets are promising, Carlsberg CEO sees the deal as a unique opportunity. This is Carlsberg’s latest acquisition after pursuing Hargreaves Lansdown and Arm Holdings, both leaving the LSE.

Founded in 1938, Britvic has grown to produce 39 beverage brands, exporting to 100 countries and reporting strong revenue growth this year. The company announced a £75 million share buyback scheme and an 11% revenue increase to £880 million for the first six months ending March 31. Britvic was previously named the British Vitamin Products Company, providing affordable vitamin-enriched soft drinks to British consumers.



Read more at Morningstar: Britvic Shares Jump on Carlsberg Takeover Deal