Coca-Cola acquires Glaceau for $4.1 bn
Chicago: The world's leading beverages company Coca-Cola has acquired flavoured water specialist Glaceau also known as Energy Brands Inc for $4.1 bn.

Coke is probably hoping that the vitaminwater brand of sweet, colorful water drinks with added vitamins will offer an alternative to consumers fewer of which are buying soft drinks and are opting for energy drinks and sports drinks perceived as healthier.

Tata Tea last year bought a 30 percent stake in Glaceau for $677 million said it would receive about $1.2 billion for its stake, nearly doubling its investment. Tata's purchase, announced in August, valued Glaceau at about $2 billion.

Glaceau founder and Chief Executive J. Darius Bikoff did not reveal his personal stake Glaceau but said it is 70 percent privately owned.

New York-based Glaceau's 2006 revenues are said to have been at $355 million and are forecast to reach $700 million this year.

Bankers said the acquisition valued the company at 9 to 10 times the company's trailing 12-month revenue, a huge premium to the median multiple of 1.2 times for public nonalcoholic drink companies.

Glaceau received early funding from private equity firm TSG Consumer Partners, and sold its 30-percent stake last year to Tata Tea.

Coke has promised to operate Glaceau as a separate business and Bikoff and two other top executives, Mike Repole and Mike Venuti have agreed to stay on and run the business for at least three years.

Over a period of time, the company will become more integrated into Coke.
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Parts of new immigration proposal opposed by US businesses
Los Angeles: Farmers and businesses reliant on migrant labour have opposed an immigration reform bill proposed to be passed by parliament. The Bill requires immigrant workers to go back home for a year.

US businesses reliant on immigrants have long pushed for reforms to address their need for labour.

Across the US, industries like carpet manufacturing, farming, poultry processing, meat-packing, construction, restaurants and hotels depend heavily on low-or unskilled illegal immigrants. Technology companies, meanwhile, increasingly look outside the US to find engineers, programmers and other highly-skilled workers, who are here legally, mostly on temporary work visas.

However, the legislation would also grant legal status to the estimated 12 million illegal immigrants already in the US, allowing them to seek permanent legal residency or citizenship. They would be subject to a $5,000 (euro3,700) fee and fines, and the heads of households would have to return to their country of origin temporarily. The reforms also call for a guest worker programme that would issue some 4,00,000 visas a year for largely low-skill immigrants seeking employment for two years.

The reform measure would create a point system that rewards people with advanced degrees and special skills.
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