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Femsa’s packaging unit could fetch $5B

Kimberly Chin
Aug 16, 2023

Photo: Hector Vivas/Getty Images

Femsa, the Mexican Coca-Cola bottler, is in discussions to sell Envoy Solutions, its U.S. packaging and food services unit, to Warburg Pincus and Kelso & Co. for a value of about $5 billion, Bloomberg reports, citing sources familiar.

Why it's matters: The potential size of the deal signals the credit markets may be rebounding and making way for LBOs again.

Catch up fast: The company said in February it was launching a strategic review of its non-core assets, which would include the divestiture of its Heineken NV stake and options for the packaging business.

Flashback: The company, based in Monterrey, Mexico, acquired Valora, a Swiss operator of around 2,700 cafes and convenience stores for $1.2 billion, last year.

Femsa could not be reached for comment. Warburg Pincus and Kelso & Co. declined to comment.

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