Shares of Varun Beverages will be in focus heading into Friday's trade after the company extended its exclusive partnership with PepsiCo in India.
The new deal will see Varun Beverages acting as the exclusive bottling and trademark partner for PepsiCo until 2049, according to a regulatory filing by the company on Wednesday.
The revised agreement replaces the earlier arrangement that was scheduled to remain valid until April 30, 2039.
“Varun Beverages Limited (“VBL”) and PepsiCo Inc. and its affiliates (“PepsiCo”) have entered into a revised Exclusive bottling appointment and trademark license agreement for India (“EBA”) on May 21, 2026,” the company said in its filing.
Notably, PepsiCo has also removed a clause that earlier restricted Varun Beverages from pursuing businesses outside PepsiCo-related operations.
“The earlier EBA restricted VBL from carrying out any activity other than to act as an SPV for PepsiCo business, now this requirement is deleted in the revised EBA,” the filing stated.
This could reflect positively on Varun Beverages, especially when it comes to expanding their portfolio and businesses.
ALSO READ: Varun Beverages Extends Exclusive Bottling Pact With PepsiCo Till 2049
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