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Clover, Nestlé meet conditions for JV

24th May 2013

By: Natasha Odendaal

Creamer Media Senior Deputy Editor

  

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JSE-listed Clover and Nestlé South Africa had met all the conditions precedent to form a new joint venture entity, Clover Waters, which would manufacture, distribute, market and sell bottled mineral water and iced tea under three Nestlé brands.

The effective date for the transaction is August 1, after which Clover Waters would inject R58-million in shares to acquire Nestlé South Africa’s Doornkloof property in Gauteng, its bottled water manufacturing facility and its water rights.

This would allow Clover Waters to bottle mineral water under the brands Pure Life, Valvita and Schoonspruit, as well as iced tea under the Nestea brand, in addition to its current portfolio of Clover’s Aquartz bottled water and Manhattan iced tea brands.

Clover would hold a 70% interest in Clover Waters, with Nestlé owning the balance.

Edited by Mariaan Webb
Creamer Media Contract Publishing Editor

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