KN Drinks Logistics has signed a 10-year deal with Britvic to distribute soft drinks to pubs, bars and food service outlets across the UK. The drinks delivery arm of Kuehne + Nagel (K+N) won the secondary distribution and vending machine replenishment contract after Britvic decided to outsource the business.
The value of the contract has not been disclosed, but Britvic said in April that outsourcing the distribution, as well as its vending remanufacturing operations, would save £5-6m per year.
KN Drinks Logistics says the company will also provide warehousing services for the drinks giant. Regarding the length of the contract, a spokeswoman adds: "The KN Drinks Logistics solution is about creating long-term value for customers, which is why the company enters long-term relationships."
K+N has confirmed reports that it hopes to acquire several European companies within the next few months to enhance its overland freight and rail business.
CEO Klaus Kuehne has told the Swedish press he is in talks with two mid-sized German providers and has his eyes on potential acquisitions in southern Europe. The German purchases could be finalised by the end of the year, with the other deals completed during the first half of 2008. No names have been revealed.