Coca-Cola bottler quits Greece
LONDON. October 12. KAZINFORM Coca-Cola Hellenic, the world's second biggest bottler of Coke, is moving its headquarters out of Greece, dealing a symbolic blow to the crisis-stricken eurozone economy.
The company is Greece's biggest by market value ($7.6 billion) but generates only 5% of its business domestically.
Coca-Cola Hellenic picked Switzerland as its new home, citing the country's stable economic and regulatory environment. It will also move its primary stock listing to the London Stock Exchange through a share exchange with Swiss-based Coca-Cola HBC AG. Coca-Cola Hellenic has listings in London, New York and Athens. It's also the largest holding in theGlobal X FTSE Greece 20 ETF, which lists the National Bank of Greece as its second biggest holding.
Coca-Cola Hellenic Chief Executive Dimitris Lois said the transaction made "clear business sense."
"It will give us access to the largest pool of international investors, on the most liquid equity market in Europe providing flexibility to fund our future growth on competitive terms," he said in a statement.
Coca-Cola Hellenic's Athens base will continue to support operations in 28 countries, including Italy, Ireland, Nigeria and Russia, CNNMoney informs.
"There will be no impact on jobs, compensation or benefits for any employees of the Coca-Cola Hellenic Group as a result of the transaction," the company said.
A majority of shareholders, including U.S.-based Coca-Cola Co., which has a 23% stake, have accepted the share exchange offer.
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