Tata Tea to get $1.2 billion as Coke

In a statement, Atlanta-based Cocoa-Cola, the world's largest aerated drinks firm, said it has reached an agreement with Energy Brands, also known as Glaceau, for the acquisition.

Glaceau is 30 per cent owned by Tata Tea Ltd., and is the No. 2 maker of enriched water behind PepsiCo Inc.'s Propel.

Tata Tea Ltd. said on Friday it would receive about $1.2 billion for selling its 30 per cent stake in Vitaminwater maker Glaceau to Coca-Cola Co.

Tata Tea bought the 30 per cent stake last August for $677 million. Twenty-five per cent of the stake was held by its UK subsidiary, Tata Tea (GB) Investments Ltd., and its holding company Tata Sons had the other 5 per cent.

Glaceau sold 77 million cases of enriched water last year, compared with Propel's 95 million, according to industry publication Beverage Digest.