Coca-Cola Amatil flags potential sale of struggling SPC cannery

Updated August 22, 2018 16:46:32

Soft drink giant Coca-Cola Amatil (CCA) may sell its struggling SPC fruit and vegetable cannery, with a change of ownership among options to grow the operation.

CCA announced it has started a strategic review of SPC, based in Shepparton, to grow the business, potentially through a sale or merger.

SPC anticipates the review will be completed within six to nine months.

Since acquiring SPC in 2005, Coca-Cola Amatil has invested around $250 million of capital in the business, including in technology and equipment, but was threatened with a possible closure in 2014.

But Coca-Cola Amatil group managing director Alison Watkins said the company was ‘very comfortable’ with its current performance.

“Our focus is making sure that we are setting the business up by making the right choices, so it’s a really logical time to step back and look at alternatives,” Ms Watkins said.

“We’re very mindful of the role of SPC in the community, and we’re very comfortable to continue as owners, however we do believe other capabilities and other options are very important to consider.”