Coca-Cola Amatil (CCA) and Coca-Cola European Partner (CCEP) have announced that they will up the share offering to $13.50 per share, up 5.9% from the original November offering of $12.75 per share. CCEP has declared that this is its best and final offer.
An increase offer price was widely predicted by industry analysts as Amatil has continued to trade at higher levels since the initial share offering was made in November.
On 22 Janaury, CCA’s releases its trading update and reported better than expected performance with a return to growth in soft drinks, water and juice volumes for the December quarter.
The increase in cash per share from CCEP comes ahead of CCA’s audited FY20 result announcement due this coming Thursday, 18 February.
The revised offer will be reduced by the cash amount of Amatil’s final dividend, expected to be at least 25¢ a share.
Chairwoman Ilana Atlas, group managing director Alison Watkins along with the related part committee have unanimously recommended shareholders vote in favour of the revised offer in the absence of a better bid.
“The economic outlook for Australia and New Zealand has improved since the announcement of the original CCEP proposal and recent trading validates our strategy and demonstrates our strong recovery,” Ms Atlas said.
“The value of Amatil has increased and we are pleased that CCEP has acknowledged this in increasing its proposed cash consideration to independent shareholders.”