Coca-Cola bottler Arca Continental has unveiled plans to invest around MXN13bn ($681m) during this year to strengthen its operations and expand beverages business.
Image: Coca-Cola bottler Arca Continental has announced $681m investment to strengthen operations. Photo: courtesy of Arca Continental S.A.B. de C.V., Derechos reservados.
Arca Continental will also use the investment to expand its business operations of the food and snacks division.
Arca Continental board of directors chairman Barragan Morales said: “Consistent with Arca Continental’s long-term vision, in 2019 we will continue to reinforce and expand our production, distribution, and customer service capabilities in the markets we serve, in order to strengthen our position and capture new opportunities for organic and inorganic growth.”
The bottler will use the 35% of the investment, including MXN4.6bn ($241m), to expand its operations in Mexico.
Arca Continental will invest around MXN5bn ($262m) in its US operations, including the construction of new production facility in Houston.
In addition, the firm will invest MXN3.4bn ($178) for the expansion of its operations in the South America.
Arca Continental CEO Arturo Gutierrez Hernandez said: “In 2019 we will focus our efforts on innovation and on fine-tuning our diverse commercial initiatives.
“We will also reinforce operations in the U.S. and in all our territories through greater digitization projects and a more profound analysis of the information we collect from the market.”
In May 2018, Arca Continental first unveiled plans to construct a new production and distribution facility in Houston of Texas.
Through its subsidiary Coca-Cola Southwest Beverages (CCSWB), Arca Continental will build the new US facility with an investment of $250m.
The new production and distribution facility, which will feature one million square feet of space, is claimed to be the first Coca-Cola production plant to be developed in the US in last ten years.
Arca Continental manufactures, supplies and sells non-alcoholic beverages under The Coca-Cola Company brand.
The company also supplies salted snacks under the Bokados brand in Mexico, Inalecsa in Ecuador, and Wise and Deep River in the US.
Arca Continental is said to be the second-largest Coca-Cola bottler in Latin America and one the largest bottlers across the world.
Via its Coca-Cola franchise, the company serves over 123 million people in Northern and Western Mexico, Ecuador, Peru, and Northern Argentina.