The Coca-Cola Company has agreed to sell CHI Limited—makers of Chivita and Hollandia—to UAC of Nigeria PLC.
The announcement came in a statement signed by Zainab Obagun, Head of Public Affairs & Communications at CHI Limited.
“The Coca-Cola Company today announced that it has entered into an agreement to sell Chivita|Hollandia (CHI Limited) to UAC of Nigeria PLC (UAC),” the statement read.
CHI Limited is a household name in Nigeria’s beverage market. Hollandia leads in evaporated milk and drinking yoghurt, while Chivita dominates the fruit juice segment.
The deal, still awaiting regulatory approval, marks a major shift in Nigeria’s fast-moving consumer goods sector.
UAC Expands Its Footprint
UAC, a diversified consumer goods giant, operates nine manufacturing plants and several logistics hubs across Nigeria. The company sees this acquisition as a chance to deepen its market reach.
“We are pleased to announce the acquisition of Chivita|Hollandia (CHI Limited), a leading dairy and juice business in the region,” said Fola Aiyesimoju, Group Managing Director of UAC.
“This acquisition presents significant potential to build on Chivita|Hollandia’s legacy of excellence and innovation.”
Eelco Weber, Managing Director of CHI Limited, praised the company’s 5,000 employees for their role in building the brands.
“I would like to thank our over 5,000 employees for their hard work and dedication in bringing our business forward and earning us recognition as a Gold-rated Great Place to Work,” Weber said.
He added, “We see a bright future for Chivita|Hollandia. With the strength of our team, coupled with the dedication of UAC, there will be exciting opportunities for further growth.”
Coca-Cola’s Strategic Shift
Coca-Cola says the sale aligns with its global strategy to run a flexible, asset-light model. The company wants to focus on brands with the highest potential to scale.
“This transaction… supports The Coca-Cola Company’s strategy to operate a flexible and asset-light model and focus on brands that have the greatest potential to scale,” the statement added.
Despite the divestment, Coca-Cola reaffirmed its commitment to Nigeria. It plans to invest $1 billion over five years, provided the business environment remains stable and predictable.
Citi acted as Coca-Cola’s exclusive financial adviser. Legal counsel came from McDermott Will & Emery. UAC was advised by Fasken Martineau LLP and Templars Law.
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