By Ian Neubauer
Coca-Cola Amatil (CCA) has successfully completed a $170 million buy-back.
A total of 21.7 million off-market shares were recouped by the company at $7.84, representing a 14 per cent discount to market price. As a result of the positive response, CCA applied a scale back to the offer of 60.38 per cent.
The buy-back comes in the wake of CCA’s sale of Coca-Cola Korea Bottling Co to LG Household and Health Care; and the acquisition of Bluetongue Brewery, makers of Bondi Blonde.
“The successful completion of the buy-back delivers on our commitment to use part of the proceeds from the sale of the South Korean business to return capital to shareholders,” said CCA managing director, Terry Davis. “Following the sale of South Korea and the completion of the buy-back, CCA’s financial ratios have been further strengthened and the company remains in a very strong position to continue the development of its multi-beverage strategy in 2008.”
CCA shareholders who successfully tendered their shares are entitled to a fully franked dividend component of $5.17 per share. Payments for shares bought back will be credited to shareholders by February 1.
CCA will release its annual results for the year ended 31 December 2007 on February 13 this year.