BELARUS NEWS AND ANALYSIS

DATE:

22/05/2008

Heineken buys stake in Belarus brewery

AMSTERDAM (Reuters) - Dutch brewer Heineken NV (HEIN.AS: Quote, Profile, Research) is to buy a majority stake in a brewery in Belarus, strengthening its number two position in that market and giving it a platform to grow its Russian brands, it said on Thursday.

World number three Heineken will invest 6.4 million euros ($10 million) in the share capital of the Rechitsa brewery for a 51 percent stake, the company said in a statement.

It said the acquisition, to be financed from existing credit facilities, would boost earnings in 2010. The acquisition is subject to regulatory approvals.

The Rechitsa brewery, which has a production capacity of 525,000 hectoliters, sold 285,000 hectoliters in 2007.

(Reporting by Foo Yun Chee, editing by Will Waterman)

Source:

http://www.reuters.com/article/innovationNews/idUSL227022820080522

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