Indian billionaire Ravi Jaipuria is accelerating his Africa strategy as Varun Beverages Limited moves to acquire South Africa’s Twizza Proprietary Limited in a deal valued at approximately $125 million. The acquisition marks another decisive step in Varun Beverages’ push to build a strong, locally rooted beverage platform across the African continent.
The transaction, subject to regulatory approvals in South Africa, Botswana, and Eswatini, is expected to close by June 30, 2026. Once completed, Twizza will operate as a wholly owned subsidiary of the Indian bottler.
A Strategic African Expansion
Africa has emerged as a critical growth engine for Varun Beverages. While domestic volumes in India remained flat during the first nine months of 2025 due to prolonged heavy rainfall, the company’s international volumes grew by 9 percent, largely driven by African markets. This international momentum helped VBL post a robust gross margin of 56.7 percent in Q3 CY2025, supported by a higher water sales mix and efficiency gains from backward integration.
Varun Beverages’ African footprint already spans Morocco, Zambia, Zimbabwe, South Africa, Lesotho, Eswatini, and the Democratic Republic of Congo, with distribution rights in Namibia, Botswana, Mozambique, and Madagascar. The company is also in the process of setting up a wholly owned subsidiary in Kenya to strengthen local manufacturing and distribution.
Why Twizza Matters
Twizza brings scale, efficiency, and integration to the table. The company operates three manufacturing plants and runs a fully backward-integrated production system, including five preform lines and a dedicated closure line. This structure gives it greater control over inputs, lowers dependency on imports, and improves supply chain reliability.
For the financial year ended June 30, 2025, Twizza reported revenues of ZAR 1,689 million, roughly $113 million, and sold close to 71 million 8-ounce cases. These numbers position Twizza as a meaningful contributor to Varun Beverages’ international portfolio from day one.
Diversification Beyond Soft Drinks
The acquisition also fits into VBL’s broader diversification strategy. Beyond its core PepsiCo bottling operations, the company has entered an exclusive distribution agreement with Carlsberg Breweries A/S to test-market beer across select African subsidiaries.
At the same time, VBL is expanding its snack business. Its snack manufacturing facility in Morocco has reached full-scale operations, while plants in Zambia and Zimbabwe are being prepared to manufacture and distribute Simba Munchiez locally.
Building a Pan-African Beverage Platform
With 12 production facilities already operational outside India and new plants under commissioning in the Democratic Republic of Congo and Zimbabwe, Varun Beverages is steadily positioning itself as a pan-African beverage powerhouse. The Twizza acquisition reinforces a clear strategy: local production, backward integration, and market-specific execution.
What this really means is simple. Instead of exporting scale from India, Varun Beverages is embedding itself within African markets, building resilience, improving margins, and capturing long-term growth in one of the world’s fastest-growing non-alcoholic beverage regions.
