Britvic shareholders approve £3.3bn Carlsberg takeover

Britvic shareholders have voted in favor of Carlsberg’s proposed acquisition of the company, bringing the creation of UK beer and soft drink giant Carlsberg Britvic one step closer.

According to company updates, Britvic PLC has successfully passed shareholder resolutions approving a recommended cash acquisition by Carlsberg UK Holdings Limited, with overwhelming support in both Court and General Meetings.

Some 165 million votes – 99.7 per cent of those cast – were in favour of the transaction proceeding, Britvic said in a stock exchange filing on Tuesday (27 ). In total, 83 per cent of Britvic shareholders voted for the deal, it added. 

The completion of the acquisition is now pending regulatory approvals and court sanctioning, with an expected effective date in the first quarter of 2025.

The drinks maker announced in July that it had reached a deal to be bought by Carlsberg for £3.3bn, after two previous bids were rejected. Carlsberg plans to roll its UK Carlsberg-Marston’s business into that of Britvic, creating a joint company called Carlsberg Britvic. The management team of Carlsberg Britvic is expected to be made up of individuals from Carlsberg, Carlsberg Marston’s and Britvic.

The acquisition will create value for shareholders, contribute to growth and forge a combined beer and soft drink company that is unique in the UK, CEO Jacob Aarup-Andersen told investors about a month ago.

“With this transaction we are creating a UK powerhouse,” he said, brushing off concerns from some analysts about integration risks, saying Carlsberg has a strong track record of running beer and soft drink businesses in several markets. Soft drinks already make up 16 per cent of Carlsberg’s volumes.

As drinkers in some markets ditch beer for spirits or cut back on drinking altogether, brewers have looked to broaden their portfolio into new categories like hard seltzer, canned cocktails and cider, as well as zero-alcohol brews. Carlsberg said the deal will deliver a number of benefits, including cost and efficiency savings worth £100 million over five years as it takes advantage of common procurement, production and distribution networks.