MEXICO CITY, Sept 23 (Reuters) - Coca-Cola Femsa, Latin America's largest Coke bottler, on Friday said it would buy Brazilian bottler Vonpar in a cash, stock and debt deal valued at 3.5 billion reais ($1.09 billion).
Coca-Cola Femsa said in a statement that its Brazilian unit Spal will pay 1.73 billion reais to Vonpar's owners as well as another 688 million reais that will be converted into Coca-Cola Femsa shares.
Spal will also issue 1.09 billion reais in convertible three-year debt to Vonpar owners.
Coke Femsa said it expects to see savings of around 65 million reais from the acquisition within two years.
Shares in Coca-Cola Femsa rose nearly 4 percent on Thursday to close at their highest since late July. On Friday they rose about 2 percent. ($1 = 3.2114 Brazilian reais) (Reporting by Michael O'Boyle in Mexico City and Brad Haynes in Sao Paulo Editing by W Simon)