BELARUS NEWS AND ANALYSIS

DATE:

28/12/2007

Heineken buys Belarussian brewery

BRUSSELS, Dec 28, 2007 (Xinhua via COMTEX) -- HINKF | charts | news | PowerRating -- The world's fourth-largest brewery, Heineken N.V. is taking over Belarus' Syabar Brewing Company, one of the country's top breweries, Heineken said on Friday.

The Amsterdam-based brewer said in a statement on its website that it will acquire Syabar's Cypriot parent company from a consortium led by Detroit Investments Limited (Cyprus) and from the World Bank's International Finance Corporation.

The company did not disclose the acquisition price, but said the transaction "will be funded from existing cash resources."

The Belarus beer market is showing double-digit growth.

Heineken's regional president for Central and Eastern Europe Nico Nusmeier said the deal will give Heineken "an excellent platform from which to grow both the Heineken brand as well as our imported Russian brands."

Heineken said the deal will be "earnings enhancing in 2008 and value enhancing in 2012."

The Syabar Brewing Company produces Belarus' second-biggest beer brand Bobrov and recently introduced premium brand Syabar. Its sales volume is expected to reach 600,000 hectolitres this year, 62 percent up from last year, Heineken said.

The brewery employs 280 staff and is located in Bobruysk, 140 km southeast of Minsk. Technical production capacity is 1.1 million hectolitres with the possibility to extend it to 2.1 million hectolitres, Heineken said.

Source:

http://www.tradingmarkets.com/.site/news/Stock%20News/945361/