COPENHAGEN: Danish brewer Carlsberg said Monday it has agreed to buy PepsiCo’s bottlers in Georgia and Armenia, deepening its partnership with the U.S. company as it expands its presence in soft drinks.

Financial terms of the deals were not disclosed. The purchases will bring Carlsberg’s PepsiCo bottling partnership to 17 markets.

Carlsberg will acquire Iberia Refreshments in Georgia and JI Pepsi Cola Bottler Armenia from Revery. It will take over production, sales and distribution of PepsiCo’s soft drinks in both countries.

The company said the two businesses will join its operations in Azerbaijan to form a South Caucasus cluster, which it described as a platform for growing a broader beverage portfolio across the region.

The Armenian acquisition is subject to approval from the country’s government.

Analysts said the significance of the deals lies less in the markets themselves than in the relationship they reflect.

“The main point for investors is not the two markets themselves, but the signal of an increasingly close relationship between Carlsberg and PepsiCo,” Jyske Bank analyst Haider Anjum said in a note.

Anjum said the acquisitions are unlikely to materially affect Carlsberg’s near-term revenue or earnings. He said closer ties with PepsiCo could, however, lead to broader cooperation and access to new markets.