Heineken to acquire beer and cider brands from Asahi

Dutch brewing company Heineken has agreed to acquire five beer and cider brands from Asahi Group Holdings (Asahi) in Australia for an undisclosed sum.

The brands were put up for sale after the Australian Competition and Consumer Commission (ACCC) mandated Asahi group to divest the brands to complete the $11bn acquisition of Carlton & United Breweries (CUB).

ACCC believed that the divesture of certain brands would prevent from impacting competition in the cider and beer segment.

The latest deal will also see cider brand Strongbow reuniting with its global Strongbow portfolio after more than a decade after Heineken acquired all the rights of the brand outside of Australia and New Zealand.

Additionally, the deal will help Heineken to gain ownership of Little Green and Bonamy’s, as well as Australian rights to international beer brands, Stella Artois and Beck’s.

Speaking of the development, Heineken APAC president Jacco Van Der Linden said: “We are thrilled to bring the Strongbow brand in Australia home to HEINEKEN and scale up our beer and cider portfolio in one of the world’s leading beer and cider markets.

“This acquisition shows that HEINEKEN remains active in pursuing growth where we see opportunities that align with our long-term strategy.”

Completion of the deal is subject to regulatory approval.

Upon completion of the deal, Heineken subsidiary Drinkworks will distribute the five Asahi brands across Australia.

The deal could also enhance Drinkworks beer and cider portfolio in Australia, which currently includes brands such as Tiger, Sol, Monteith’s beer and cider and Orchard Thieves cider.