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01 August 2007

Green flag for FEMSA’s purchase of Jugos del Valle

In July, Coca-Cola FEMSA, the world’s second-largest Coke bottler, announced that Mexico’s antitrust regulator has approved its USD 380 million joint acquisition with Coca-Cola Co. of juice maker Jugos del Valle.

Coca-Cola Femsa, in which the Coca-Cola Company has a major stake, said it had appealed to the antitrust regulator after the watchdog had blocked the plan, and now the approval of the acquisition has been conditioned on certain requirements. The final notification will be sent out to FEMSA in the following weeks.

Mexican President Felipe Calderon, who took office in December, has said he wants more competition in industries where a handful of companies dominate. However, desire is one thing, making it happen another.

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