Coca-Cola has been part of the fabric of Nigerian society for more than 60 years and now has plans to further expand its presence through a strategic investment in Chi Limited, one of Africa’s most exciting and innovative beverage leaders.
Chi Limited, majority owned by the holding company TGI Group, is a successful West African producer of popular value-added dairy and juice beverages, two of the fastest growing beverage categories not just in Nigeria but throughout Africa. The company serves household brands such as Hollandia and Chivita and employs a team of over 1,400 people in Nigeria.
The initial agreement sees Coca-Cola making a minority equity investment in Chi Limited and both companies plan to expand their relationship over coming years as they learn from each other’s experience and expertise with their complementary beverage portfolios. Coca-Cola and Chi Limited together produce Nigeria’s most popular sparkling soft drink, juice, water, value-added dairy and tea beverages. The agreement will allow both companies to leverage their respective investments and expertise to further drive innovation as well as increasing the availability of their products and the choice they can offer consumers. Additionally both Coca-Cola and Chi Limited have agreed to jointly discuss and explore other opportunities in the region to further develop their new relationship.
The two firms both have deep roots in Nigeria and have been serving Nigerian consumers for a combined 100 years while supporting an extensive supply-chain of local customers, retailers and suppliers. Nigeria is home to more than 170 million people, the largest population in Africa, more than 60 percent of whom are under the age of 25. The country also boasts the African continent’s largest economy that continues to show strong economic growth potential.
Nathan Kalumbu, President of Coca-Cola Eurasia and Africa, said “Coca-Cola and Chi share the same commitment to Africa, to investing in our operations and to continuous innovation and our relationship will allow us to continue to provide Nigerian consumers the number one beverage in each of the categories we serve. We’re extremely excited by the opportunity to work together and to continue serving Nigeria’s growing population by offering more choice and availability.”
Coca-Cola has been present in Africa since pouring the first Coke in Johannesburg in 1928 and continues its long history with its greatest ever level of investment in the continent. In 2014, the company announced an increased investment in Africa to a total of $17 billion from 2010 to 2020 to fund new manufacturing lines, distribution capabilities and cold drink equipment while creating additional jobs and opportunities on the continent. Today, the Company’s products refresh people in every country in Africa and together with its bottling partners employs more than 70,000 people in 145 bottling and canning facilities.