Coca-Cola to invest $4b in China

American soft drinks giant Coca-Cola said Thursday it will invest $4 billion in China over the next three years, as it deepens its expansion into the world's second largest economy.

The huge investment, starting from 2012, will follow an estimated spend of more than $3 billion in the three years to the end of 2011, the world's biggest soft drinks maker said in a statement.

Coca-Cola's growth in emerging markets has helped it weather the weak US economy.

Chairman and chief executive Kent Muhtar said China was one of the biggest growth markets for the company.

Sales volumes have doubled over the last five years, spurred by strong demand for Coca-Cola brand and Minute Maid Pulpy, China's most popular juice brand, he said.

In an interview with the official Xinhua news agency, Muhtar said he believed China, currently the company's third biggest market following the United States and Mexico, would eventually become its largest global market.

Coca-Cola would be interested in listing on the planned international board of the Shanghai Stock Exchange, he added.

'It will be a mutually beneficial action if we are listed,' he said during a visit to Shanghai.

China has said it would allow foreign companies to sell shares on the domestic stock market as part of efforts to build Shanghai into an international financial hub, but it has yet to unveil detailed regulations.

Source : New Age

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