Asahi snaps up Carlton & United Breweries in $16b deal
Carlton & United Breweries (CUB) has been acquired by Japan’s Asahi Group Holdings in a $16 billion deal.
An Australian subsidiary of Anheuser-Busch InBev, CUB’s portfolio of brands includes Great Northern Brewing Co, Crown Lager and Carlton Draught, making it Australia's biggest brewer with nearly 50 per cent market share.
“We expect to acquire the broad distribution network of CUB as well as benefitting from the advantage of greater scale in areas such as procurement by collaborating with Asahi’s existing Australian business which is of comparable size to CUB,” Asahi said in a statement.
“The acquisition also further enhances Asahi’s management resources by bringing with it a wealth of talented global and local management.”
CUB chief Peter Filipovic said his company, which runs the Abbotsford brewery, Hobart's Cascade brewery and Yatala brewery near Brisbane, would benefit from the sale.
"We look forward to growing the business and the beer category with Asahi," he said. "Not only will we continue to brew our famous beers such as VB and Carlton Draught in Australia, but we'll join a company that has fantastic beers such as Asahi and Peroni."
The divestiture of CUB will go towards paying down AB InBev's debt, with AB InBev CEO Carlos Brito saying the company continues to see "great potential" in APAC, with the region remaining "a growth engine" for the company.
"With our unparalleled portfolio of brands, strong commercial plans and talented people, we are uniquely positioned to capture opportunities for growth across the APAC region," he said.
The transaction is expected to be finalised in the first quarter of 2020.
Sheridan Randall, 25th July 2019
