The Carlsberg Group is primed to expand its bottling arrangement with PepsiCo into the Republic of Azerbaijan from 1 January.
The deal will see the Danish brewing giant take over the production, sale and distribution of the PepsiCo soft drinks portfolio in Azerbaijan in the New Year. Carlsberg Group’s Xirdalan brewery (below) will be expanded to soak up the added volumes.
Financial details and length of the deal were not disclosed.
The deal, which is expected to double Carlsberg’s business in the market, will take the brewer’s bottling agreements with PepsiCo to 15 markets. The arrangement is currently live in Cambodia, Ireland, Kazakhstan, Kyrgyzstan, Laos, Norway, Sweden, Switzerland and the UK, with Denmark, Finland, Estonia, Latvia and Lithuania to commence in 2029.
“We’re excited about the further expansion of our long-standing partnership with PepsiCo to Azerbaijan,” said Carlsberg Group CEO Jacob Aarup-Andersen. “With the new agreement, we’re adding PepsiCo’s iconic brands to our strong local beer portfolio in the country and significantly growing our business in that market, which will allow us to offer consumers more relevant and diverse choices across occasions.”
Last year, Carlsberg Group’s Lao Brewery Co unit signed a 15-year extension of its previous bottling arrangement with PepsiCo in Laos.
