Member Article

A.G. Barr eye merger with Britvic

The makers of Irn-Bru, A.G. Barr have approached Britvic plc to undertake a merger of the two drinks companies.

The Scottish firm have eyed their larger rivals, and discussions are now said to be in an “early stage.”

If agreed, the deal would mean Britvic shareholders would own 63% and A.G. Barr shareholders, 37% of the enlarged group’s share capital.

In a statement, A.G. Barr said: “A merger would create one of the leading soft drinks companies in Europe, with a strong portfolio of market leading brands.

“The combination would have compelling industrial logic and represents an opportunity for both companies to enhance their industry position, and achieve significant synergies and shareholder value.”

Roger White, CEO of A.G. Barr, would become CEO of the combined group and John Gibney, CFO of Britvic, would become CFO. Gerald Corbett, Chairman of Britvic, would become Chairman of the Board of the combined group, and Ronnie Hanna, Chairman of A.G. Barr, would become Deputy Chairman.

In addition, the new Board would comprise six other non-executive directors, three nominated from each of Britvic and A.G. Barr.

This was posted in Bdaily's Members' News section by Tom Keighley .