Bidcoro Acquires Ribena and Lucozade Brands

Bidcoro Africa Limited, a company affiliated with Bidco, has acquired Suntory Beverage and Food Kenya, the makers of Ribena and Lucozade.

The Competition Authority unconditionally approved the acquisition of Suntory Beverage & Food Kenya Limited by Bidcoro Africa Limited.

Bidcoro Africa Ltd is a partnership between Bidco Africa Ltd and CORO A/S based in Denmark.

Bidcoro, a Kenyan company specializing in concentrates, soft drinks, and ice lollies, will leverage its expertise to address Suntory’s underperformance.

Suntory Beverage and Food Kenya holds a market share of less than 2% in the Kenyan soft drink market, which is dominated by Coca-Cola Beverages Africa (65%). Other key players include Delmonte Kenya, Kevian Kenya, Excel, Predator, Red Bull, Highlands, Pepsico, and others.

Bidcoro and Bidco Africa Limited together control 1% of the market share.

The Competition Authority of Kenya determined that the acquisition will not have negative public interest concerns. There will be no job losses and Suntory Kenya employees will retain their current terms and conditions.

“This approval has been granted based on the finding that the transaction is unlikely to negatively impact competition in the market for non-alcoholic ready-to-drink (NARTD) beverages, nor elicit negative public interest concern. The target will become a wholly-owned subsidiary of the acquirer and transfer all the contract manufacturing business,” CAK said in a statement on Tuesday, August 20.

“Therefore, the proposed transaction is unlikely to lead to a substantial lessening or prevention of competition in the market for NARTD beverages in Kenya.”