Kofola buys a third stake in General Plastic

3.12.2021 08:39, BABKOFOL

Kofola buys a third stake in General Plastic. She announced this in her press release this morning. General Plastic is a Slovak manufacturer of hot-washed PET flakes and PET preforms, for the production of which it uses recycled PET bottles. Another third of the shares are bought by competing beverage producer Mattoni 1873. The transaction will take effect once the conditions precedent are met, in particular it must be approved by the competition authorities. The price of the transaction was not disclosed. In 2020, General Plastic reported revenues of EUR 17 million (approximately CZK 433 million). For comparison, according to our estimates, Kofola will report revenues close to CZK 6.5 billion this year (in 2020 it was CZK 6.2 billion).

We perceive the investment in the PET preform manufacturer as a strategic step that will facilitate Kofole’s access to important raw materials and may have a positive impact on material input expenditures in the future. Packaging costs (where PET is a significant part) account for more than 50% of Kofola’s material costs.

Jan Raška, analyst, Fio banka, as

Related links

Leave a Comment