Varun Beverages to Acquire South Africa-Based Twizza for ZAR 2,095 Million

The move marks another step in VBL’s strategy to scale its beverage manufacturing and distribution operations across Africa.

Twizza operates in the non-alcoholic beverage segment with a portfolio of own-branded products. The company runs three manufacturing plants located in Cape Town, Queenstown and Middelburg with a combined annual production capacity of 100 mn cases. These facilities also include backward integration capabilities, comprising five preform lines and one closure line.

According to a regulatory filing by Varun Beverages, the acquisition will be carried out at an “Enterprise Value of ZAR 2,095 Million (Rs 1,118.7 crore)” and will be “payable in cash”. The company stated “The Board of Directors of Varun Beverages at their meeting held today inter-alia considered and approved to acquire 100 per cent Share Capital of Twizza at an Enterprise value of ZAR 2,095 million through our subsidiary company in South Africa Bevco.”

The transaction will be subject to regulatory and other customary approvals. VBL indicated that the indicative timeline for completion of the acquisition is “on or before June 30, 2026.”

Following the completion, Twizza will operate as a step-down subsidiary of Varun Beverages.

For the financial year ended March 31, 2025, Twizza reported a turnover of 1,689 million ZAR (Rs 9,010.26 million). VBL noted that the acquisition will allow Bevco to deepen its reach within the South African market by leveraging Twizza’s manufacturing footprint and integrated production facilities.

This development builds on Varun Beverages’ recent expansion activity in the region. In March 2024, the company acquired The Beverage Company in South Africa along with its wholly owned subsidiaries, Bevco. That transaction enabled VBL to consolidate its operations in franchised territories across South Africa, Lesotho, and Eswatini, while also strengthening its distribution presence in Namibia, Botswana, Mozambique and Madagascar.

In another expansion move, on November 13, 2024, VBL entered into a share purchase agreement with Tanzania Bottling Company SA and SBC Beverages Ghana to acquire 100 per cent equity. The equity value for the transactions was USD 154.50 million for Tanzania and USD 15.06 million for Ghana, both aligned with PepsiCo’s bottling operations.

Separately, Varun Beverages Morocco SA, a wholly owned subsidiary of VBL, has signed an agreement to manufacture and package Cheetos in Morocco. This adds to its existing distribution arrangement for PepsiCo’s snack brands, including Lays, Cheetos and Doritos, within the Moroccan market.

Varun Beverages stated that it is among the largest PepsiCo franchisees globally outside the United States. In 2024, the company recorded revenue of Rs 20,007.7 crore and reported global sales volume of 1,124 million cases.