Coca-Cola explores IPO of India bottling unit HCCH in 2027, divest stake

Global beverages major The Coca-Cola Company is exploring the listing of Hindustan Coca-Cola Holdings Pvt Ltd (HCCH), the parent entity of its Indian bottling arm HCCB, in 2027 on Bombay Stock Exchange (BSE) and National Stock Exchange of India (NSE), a statement said. Besides, it is considering selling a part of stake in HCCH.

“Initial preparations are underway for a potential listing on the Bombay Stock Exchange and National Stock Exchange of India, subject to market conditions and applicable regulatory and other approvals,” the statement by U.S.-headquartered beverages major said.

The development comes almost a year after Coca-Cola sold its 40% stake in HCCH to Jubilant Bhartia Group. However, Coca-Cola is yet to reveal the financial details of the transaction.

The Coca-Cola Company in its global statement, said: “It is exploring a potential public listing in India of HCCH, the parent company of the largest Coca-Cola bottler in India, Hindustan Coca-Cola Beverages Pvt Ltd (HCCB), in 2027, and the sale of a portion of its shareholding in HCCH in connection with the listing.”

This potential listing of HCCH will be a significant milestone, completing the refranchising of HCCH and positioning it well to capitalise on the opportunities in the Indian market.

The Coca-Cola Company as its asset-light strategy, is divesting its bottling assets globally. India is the fifth-largest market for Coca-Cola globally.

In 2024, The Coca-Cola Company had franchised its bottling operations to its existing bottlers in three key markets – Rajasthan, Bihar, Northeast, and parts of West Bengal.

The company had realised $290 million (around ₹2,420 crore) by refranchising its bottling operations. The three bottlers who got the franchisee were Kandhari Global Beverages, SLMG Beverages and Moon Beverages.

Coca-Cola operates in the Indian market with two entities, Coca-Cola India and HCCB. HCCB, which was incorporated on February 14, 1997, operates 14 bottling plants across India. Headquartered in Bengaluru, HCCB operations are spread in 10 States and 236 Districts in South and West India. It manufactures and sells 37 different products across 8 categories, including Coca-Cola, Thums Up, Sprite, Minute Maid, Maaza, SmartWater, Kinley, Limca, Fanta, among others.