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FTSE 100 in the red
FTSE 100 opened in the red, losing 34 points to 7,607 this Monday.
London’s blue-chip index was being weighed down by Ocado (LON:OCDO), which is down 2.4% to 240p, with a robotics start-up backed by the firm on the brink of collapse.
Coca-Cola HBC is also down 2.2% to 2,279, with investors seemingly not impressed with its latest acquisition.
At the other end of the market, Entain (LON:ENT) was up nearly 2% to 1,245p.
Analysts at Shore Capital reiterated its buy rating on the stock on the back of its purchase of Polish bettering operator STS last week, along with other “sensible” strategic moves.
Coca-Cola buys and BAT reshuffles
Coca Cola HBC (LON:CCH), the drinks bottle manufacturer, completed the purchase of Brown-Froman Finland Oy (NYSE:BFb), the owner of Finlandia vodka.
A statement said the FTSE 100 company agreed to pay US$220mln and is expected to complete in the second half of this year.
The purchase will be completed by Coca-Cola HBC’s subsidiary, CC Beverages Holdings.
Coco-Cola HBC said the transaction represents a “unique opportunity” to enhance its journey towards becoming a 24/7 beverage partner.
“We view this as an attractive investment and a natural evolution of our role as one of Finlandia's distribution partners, further attesting to the strength of our time-tested and wide-ranging partnership with Brown-Forman (NYSE:BF.B),” said Zoran Bogdanovic, CEO of Coca-Cola HBC.
Elsewhere among the blue chips, vape and cigarette manufacturer British American Tobacco (LON:BATS) (BAT) announced several board room changes, following on from Tadeu Marraco’s appointment as CEO, confirmed last month.
Included in the plethora of changes are Johan Vandermeulen appointed as chief operating officer and Kinglsey Wheaton named chief strategy and growth officer.