Britvic stays firmly in place

Source: Food and Drink Digital

Date :21/05/2007 15:59:49

Britvic has revealed a strong performance over the last six months.

The company has fended off growing talk that private equity groups are poised to launch takeover bids.

Sales at the Tango-to-Robinsons group rose 9 percent to £354 million, sending profits up more than 11 percent to £48 million for the half-year to April 15.

Chief executive Paul Moody presented the numbers as good reasons to leave current management in place, and played down talk of a takeover.

Permira, the biggest shareholder with a 14 percent stake is said to be pondering a £1 billion bid.

Paul Moody said: “We had conversations with Permira a number of weeks ago. At this stage, there are no further conversations to report. They are a large shareholder, but the business is performing strongly and we believe it has good long-term value.”

Britvic last week bought the soft drinks business of C&C for £170 million, allowing it to expand into the Republic of Ireland and Northern Ireland.

At the moment, 97 percent of Britvic's sales come in the UK, although it is looking at selective international expansion.

In the next half year, the company hopes that a re-branded Robinsons can push sales further forward.

Robinsons Smooth Juice will be launched soon, as will Fruit Shoot 100%, a pure juice aimed at children.

May 21 2007