Dentons acts for PepsiCo in Uruguay plant expansion
Law firm Dentons Jiménez de Aréchaga has represented PepsiCo in the expansion of its Uruguay plant, and which will make it one of the world´s largest concentrate plants.
PepsiCo successfully closed the deal to expand its concentrate plant in Uruguay and make it the main concentrate plant in the Americas and one of the largest in the world.
The company’s investment in Uruguay exceeds $65 million and will allow PepsiCo to use technology of the highest level of innovation. From its state-of-the-art Colonia plant, it produces the concentrate for global beverage soft drinks brands which are exported to over 30 markets worldwide. The investment supposes an enlargement of the industrial plant by more than 18,000 square feet in order to incorporate additional technology and make way for innovative means of production.
This operation represents an increase in added value, will employ a qualified workforce, and de-centralises economic activities away from the capital. Direct and indirect job creation will exceed 1,500.
PepsiCo, which has had a presence in Uruguay for more than 60 years, represents 6 per cent of all Uruguayan exports.
“Amid the COVID-19 pandemic, PepsiCo has honoured Uruguay in choosing it as the destination for this investment because of its well-known tradition of legal stability, respect of private property and high regard for the rule of law, within a continent that is frequently unfriendly to foreign businesses,” the law firm said.
“In so doing, PepsiCo is not only generating opportunities for its beverage business, but will create important spill-over effects in Colonia in particular, and Uruguay in general.”
The law firm provided corporate counsel with a team led by partner Virginia Brause (pictured), with of counsel María Noel Saldías.
