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    Horlicks could provide an Indian tonic for Coca-Cola, says GlobalData

Following Coca-Cola’s acquisition of Costa Coffee for £3.9 billion, the company has also been linked with a move for GlaxoSmithKline’s Horlicks brand.

Ronan Stafford, Lead Analyst at GlobalData Consumer, comments:

‘‘India loves Horlicks, particularly as a breakfast drink for children and gaining access to this market would be a big win for Coca-Cola. India is a young country, with a growing economy, and targeting the hot drink market provides diversity to Coca-Cola’s growth strategy. Hot drinks is a consumption occasion the group hasn’t invested in heavily in the past – but the Costa Coffee acquisition shows that this is about to change.

“Horlicks would help Coca-Cola diversify its brand portfolio at a time when it needs to invest in healthier brands. Malt drinks might be niche, but they have strong health credentials with Horlicks containing vitamins, minerals and fibre.

‘‘Consumers are moving further away from sugary drinks and the sales of carbonates, Coca-Cola’s most well-known interest, are under pressure.”


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