PURCHASE, N.Y. — PepsiCo here has proposed to acquire all of the outstanding shares of common stock it doesn’t already own in its two largest bottlers: The Pepsi Bottling Group and PepsiAmericas.
Upon acquiring the outstanding shares, PepsiCo would handle distribution for about 80% of its total North American trading volume, including both its direct-store delivery and warehouse systems, allowing it to more nimbly respond to changing market conditions, company officials said. The total value of the shares PepsiCo is proposing to acquire is approximately $6 billion.
"Consolidating the bottling businesses with our franchise company would create many benefits," Indra Nooyi, PepsiCo chairman and chief executive officer, said in a statement. "We could unlock significant cost synergies, improve the speed of decision making and increase our strategic flexibility.
"We would be able to present a more unified face to our retail and food service customers, which would better position us to provide customized solutions, as we do at Frito-Lay, and to take to a new level our 'Power of One' program of bundled food and beverage offerings."
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