British sweets and soft drinks group Cadbury Schweppes has finally wrapped up a 700 million euro ($643 million) deal to buy France's Pernod Ricard soft drink brands business.
Orangina, which heads Pernod Ricard soft drink brands, accounts for about half the total volume being acquired.
As a separate arrangement, Pernod has an option to sell its soft drinks businesses in all other countries, representing about 5 per cent of the French group's total soft drinks profits, to Cadbury Schweppes in the future for up to euro 35 million.
Cadbury has also agreed to pay about euro 18 million to compensate Pernod for certain tax liabilities
Completion of the deal will now leave Pernod free to focus on its core spirits and wines businesses and will help the group cover $3.15 billion in debt it has taken on for the purchase of the Seagram's spririts business.
Pernod teamed up with Britain's Diageo for the Seagram acquisition, which is awaiting US approval.
Pernod's soft drinks businesses had sales in 2000 of euro 466 million and pro-forma earnings before interest, tax, depreciation and amortisation of euro 63 million.