Coca‑Cola HBC AG ("Coca-Cola HBC”) has entered into an agreement for the acquisition of Acque Minerali S.r.l. ("Acque Minerali” or "Lurisia”), a privately-held natural mineral water and adult sparkling beverages business in Italy. The acquisition is being made through Coca-Cola HBC's wholly-owned subsidiary, Coca-Cola HBC Italia S.r.l.
The acquisition is being made in conjunction with The Coca-Cola Company, in-line with previous similar acquisitions (the "Transaction”). The selling shareholders are the private equity fund IDeA Taste of Italy, managed by DeA Capital Alternative Funds SGR S.r.l., the Invernizzi family, and Eataly Distribuzione S.r.l. The total enterprise value payable by Coca-Cola HBC and The Coca-Cola Company, subject to customary closing adjustments, amounts to €88 million. Completion of the acquisition is subject to certain conditions and is expected by the end of 2019. As part of the Transaction, Piero Bagnasco, CEO of Lurisia, and Alessandro Invernizzi will remain on the board of directors of Acque Minerali. Both are representatives of two of the selling shareholders.
Founded in 1940 in Roccaforte Mondovì, Northwest Italy, Acque Minerali is a producer and distributor of premium, natural mineral water and adult sparkling beverages under the Lurisia brand. In the water category, the company offers still and sparkling water in PET and glass packaging, sourced from springs 1,400 meters above sea level in Monte Pigna. The company has been a pioneer in offering water products in bell-shaped glass bottles, designed by the Italian architecture and design studio Sottsass Associati. In the adult sparkling segment, Lurisia offers beverages inspired by authentic Italian recipes, based on ingredients sourced within the country. They are offered in the following flavours: Chinotto, Gazzosa, Aranciata, Aranciata Rossa, Aranciata Amara, Limonata and Tonica. Lurisia products enjoy high brand awareness and are associated with quality, authenticity, taste and the Italian lifestyle. Since 2008, the company has been a partner in the main events organised by Slow Food, a non-profit organisation set up in 1986 in Italy promoting local food and traditional cooking.
The acquisition of Lurisia complements the existing Coca-Cola HBC beverage portfolio in Italy and is a strong fit for the company's 24/7 total beverage partner strategy. It supports the company's drive to further premiumise its portfolio and offer consumers an authentic Italian brand with strong heritage and well-rooted Italian origins.
As the acquisition is being made in conjunction with The Coca-Cola Company, it constitutes a smaller related party transaction under LR 11.1.10.R. The Board of Directors of Coca-Cola HBC is satisfied that the terms of the Transaction are fair and reasonable to shareholders. UBS AG London Branch ("UBS") is acting as Financial Adviser and Sponsor to Coca-Cola HBC.