The German brewer, Radeberger Gruppe AG, is planning to expand in the medium term, according to a statement by the company's chief executive, Ulrich Kallmeyer.

However, Kallmeyer did not elaborate on speculation that the company was planning to invest €1.0 billion (US$1.07 billion) in the acquisition of smaller regional brewers.

As part of its expansion strategy, Radeberger increased its participation in the German brewer, Allgaeuer, from 57.3% to 89.4% at the beginning of this year.

Radeberger, the third largest brewer in Germany after Holsten and Interbrew, is part of the privately-owned group, Dr Oetker, which now declares beer production as its core business activity.