Coca-Cola is reportedly exploring an initial public offering (IPO) for its Indian bottling unit, Hindustan Coca-Cola Beverages Pvt. According to sources familiar with the discussions, the potential IPO could raise $1 billion and value the unit at approximately $10 billion.

Hindustan Coca-Cola Beverages serves as Coca-Cola's bottling operation in India, which is one of the world's fastest-growing beverage markets. The company operates 14 manufacturing plants across 12 states, serving 236 districts through a network of over 2 million retailers and employs more than 5200 people.

The beverage giant has held preliminary meetings with bankers in recent weeks to discuss listing Hindustan Coca-Cola Beverages Pvt. on public markets. However, the company is still in early stages of consideration and has not yet hired bankers to formally manage the potential offering. If Coca-Cola moves forward with the plan, the IPO would likely take place sometime in 2026.

This move follows recent IPOs by other global companies in India, such as LG Electronics and Hyundai Motor. Coca-Cola recently sold a minority stake in the bottler's parent company to Jubilant Bhartia Group, indicating a strategic realignment in India.

The potential IPO reflects Coca-Cola's view on the growth potential of the Indian beverage market, driven by factors such as rising disposable incomes and urbanization. This strategic move could aim to monetize the value of its Indian operations, expand its market presence, and offer local investment opportunities.

Coca-Cola has been facing competition from Reliance's consumer products brand Campa Cola.