Last cheers for Coca-cola Amatil (ASX:CCL) after 50 years on ASX

Iconic non-alcoholic beverage producer Coca-Cola Amatil (AX:CCL) is poised for a takeover by UK-based Coca-Cola European Partners.

The proposed takeover is estimated at $9.8 billion, as the European coke bottler is offering independent shareholders $13.50 per share. A minimum of 50 per cent of shareholders must accept the offer, and at least 75 per cent of the shares must be secured in order for the acquisition to go ahead.

Results from the proxy votes have indicated an overwhelming 97.6 per cent approval of the offer. While the final results have not been disclosed, market researchers are expecting ‘yay’ votes to prevail with an overwhelming majority.

Australia’s largest soft drink manufacturer encouraged shareholders to accept the offer, citing the opportunity to make profits from a lucrative premium to Amatil’s share price prior to the offer.

Coke Australia’s chairwoman Ilana Atlas emphasised ““It also represents an attractive premium to the price at which Coca-Cola Amatil shares have traded over the five years prior to the announcement of the proposed scheme and equates to an attractive acquisition multiple when compared to similar Coca-Cola bottler transactions”.

On the other hand, Coke Europe has clinched a deal with Coca-Cola Co’s head office in Atlanta to seize the remaining 30 per cent stake in the Australian branch. A 100 per cent ownership will enable Coca-Cola European Partners to withdraw Coca-Cola Australia from the ASX, after the stock’s 50 years of being listed. This could be a sentimental departure to some, as the company was once among the top 10 biggest listed companies in Australia

Shares in Coca-Cola Amatil (ASX:CCL) are trading 0.2 per cent higher $13.31

  
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Source: Finance News Network