Heineken is holding an analysts conference in Mexico City

Heineken is holding an analysts conference in Mexico City

Mexico is a “good story” for Heineken as it continues to integrate FEMSA Cerveza, an analyst has said.

Ian Shackleton said today (6 December) the presence of the Dutch brewer, which is holding an investor seminar in Mexico City, has “greatly improved” in the region since its takeover of FEMSA Cerveza three years ago. Market share in Mexico has jumped from 3.4% in 2009 to 10.8% in 2012, Shackleton said.

However, the analyst warned of dangers elsewhere for Heineken as it battles ongoing tough trading in Western Europe. Shackleton also highlighted the risk that cost-cutting benefits under Heineken's TCM2 programme “do not fall through to the bottom line”.

In 2010, Heineken bought FEMSA Cerveza from Mexican group FEMSA, which is Coca-Cola FEMSA's parent company, in return for a 20% stake in its business.

At Heineken's Financial Markets Conference yesterday, CEO Jean-François van Boxmeer said European beer drinkers over 50 are leaving the category and the company needs to make its brands "sexy" to attract younger drinkers.