Coca-Cola Bottlers Uzbekistan (Uzbek: Coca-Cola Ichimligi Uzbekiston Ltd.) is a joint venture between the Uzbek state and the Coca-Cola Company established in 1993. The company is headquartered in Tashkent and has four production facilities: two in Tashkent, one in Namangan, and one in Urgench.[1] In 2019, the company controlled nearly half of Uzbekistan's market for soft drinks and generated revenue of UZS 1.4 trillion.[2] The Uzbek state currently owns 57.1 percent of the joint venture, with the Coca-Cola Company owning the remainder.[3]
Native name | Coca-Cola Ichimligi Uzbekiston Ltd. |
|---|---|
| Founded | 1993 in Tashkent, Uzbekistan |
| Revenue |  US$160 million (2019) |
| Owner |
|
History
editCoca-Cola Bottlers Uzbekistan began production in March 1994 with an initial production target of 2.2 million gallons a year.[4] The shareholders were Roz Trading Ltd., an entity controlled by Afghan-American businessman Mansur Maqsudi, the Coca-Cola Company (via The Coca-Cola Export Corporation), and Uzpishprom, an Uzbek state enterprise.[5] In May 1996, the company opened its second bottling plant in the Kirbay district on the outskirts of Tashkent.[1] In February 1997 a second plant was opened in Namangan in order to serve the populous Fergana Valley.[1] In June 1997, the company's fourth plant opened in Urgench in the far west of Uzbekistan.[1]
In 2001, the Uzbek government launched an investigation into Roz Trading over alleged financial impropriety.[6] Soon after, Roz Trading's shares in Coca-Cola Bottlers Uzbekistan were taken over by the Uzbek state. In June 2006, Maqsudi filed a claim against the Coca-Cola Company for allegedly conspiring with Uzbek government to strip Roz Trading of its majority share in the bottling company.[7]
Privatization Plan
editIn March 2019, Uzbek President Shavkat Mirziyoyev signed a decree aimed at improving the attractiveness of Uzbekistan for foreign investors.[8] This decree mandated the privatization of 64 of the country's largest state-owned enterprises, including Coca-Cola Bottlers Uzbekistan.[9][10] In March 2020, the Coca-Cola Company announced it would invest $31 million in its Uzbek joint venture to upgrade the bottling plants.[11] In December 2020, the Uzbek government announced that it had retained Rothschild & Co to manage the sale of a portion of the state's shares in the joint venture.[12]
References
edit- ^ a b c d "Coca-Cola in Uzbekistan". Coca-Cola Ichimligi Uzbekiston. Archived from the original on 2017-06-22. Retrieved 2020-12-28.
- ^ "Uzbekistan to sell state shares in local Coca-Cola bottler". Eurasian Investor. Archived from the original on 2020-12-18. Retrieved 2020-12-28.
- ^ Pacitti, Steven (2020-06-22). "Strategic investor sought for Coca-Cola Bottlers Uzbekistan". Plastics in Packaging. Archived from the original on 2021-11-09. Retrieved 2023-09-30.
- ^ "Company News: Coca-Cola Venture in Uzbekistan Starts Production". The New York Times. Reuters. 1994-03-29. ISSN 0362-4331. Retrieved 2020-12-28.
- ^ "Uzbekistan plans to attract consultant for Coca Cola privatization". UzDaily.uz (in Russian). 2020-07-13. Retrieved 2020-12-28.
- ^ LeVine, Steve; McKay, Betsy (2001-08-24). "Three Executives of Coca-Cola Bottler Leave Uzbekistan Amid Investigations". Wall Street Journal. ISSN 0099-9660. Retrieved 2020-12-28.
- ^ Alden, Edward; Ward, Andrew (2006-06-14). "Coca-Cola accused over Uzbek venture". Financial Times. Retrieved 2020-12-28.
- ^ "О МЕРАХ ПО ДАЛЬНЕЙШЕМУ СОВЕРШЕНСТВОВАНИЮ МЕХАНИЗМОВ ПРИВЛЕЧЕНИЯ ПРЯМЫХ ИНОСТРАННЫХ ИНВЕСТИЦИЙ В ЭКОНОМИКУ РЕСПУБЛИКИ". lex.uz (in Russian). April 29, 2019. Archived from the original on 2019-05-06.
- ^ "Uzbekistan privatizes certain State companies". Investment Policy Monitor. United Nations Conference on Trade and Development. 2019-04-29. Retrieved 2020-12-28.
- ^ Weaver, Chris (2019-05-20). "MACRO ADVISORY: Uzbekistan Terraforming: Privatization is the next stage". www.intellinews.com. Retrieved 2020-12-28.
- ^ "Coca-Cola Company to invest US$ 31 million in JV in Uzbekistan". The Tashkent Times. 2020-03-11. Archived from the original on 2020-03-30. Retrieved 2020-12-28.
- ^ "Uzbekistan invites bids for its stake in joint venture with Coca-Cola". Reuters. 2020-12-18. Retrieved 2020-12-28.