CCU Acquires Nestlé's Stake in Chilean Joint Venture for $180 Million

Compañía Cervecerías Unidas (CCU), a prominent Chilean drinks company, has completed the acquisition of Nestlé's 49.9% stake in their joint venture, Aguas CCU-Nestlé Chile, for around 165 million pesos, equivalent to $180 million. The acquisition marks a significant shift in the ownership structure of the venture, which was originally established in 2007.

Despite the buyout, CCU will maintain its role in distributing Nestlé's water and coffee-based beverages within Chile. Nestlé emphasized that the transaction aligns with its strategy of portfolio discipline and simplification while ensuring continuity under CCU's management.

The joint venture, Aguas CCU-Nestlé Chile, has been responsible for the production and sales of the Nestlé Pura Vida (Pure Life) brand in Chile. Additionally, the venture has been bottling the Cachantun and Porvenir water brands, as well as importing Perrier water, according to CCU's latest annual report.

In 2012, the venture expanded its operations by acquiring a 50% stake in Manantial, a supplier of purified water for home and office dispensers. Four years later, the joint venture took full ownership of Manantial, further consolidating its position in the Chilean water market.

CCU's product portfolio extends beyond water, including beer, energy drinks, juices, and wine. This acquisition comes in the wake of a leadership change at CCU, with Patricio Jottar Nasrallah stepping down as CEO to become a director. Eduardo Ffrench-Davis Rodríguez is set to assume the CEO position, bringing over a decade of experience at CCU, including two years leading the Aguas CCU-Nestlé Chile venture.