SABMiller has reached a "conditional agreement" with Grolsch to make an offer for the acquisition for the company.

SABMiller said today (19 November), that it plans to make an offer of EUR816m (US$1.19bn), equivalent to EUR48.25 per share, for the Dutch brewer.

The Grolsch board, which admitted it "did not seek a takeover", said that, despite this, the company "unanimously support the intended offer".

SABMiller added that, going forward, it plans to develop the brand across markets such as Africa and Latin America and Central and Eastern Europe and aims to raise production volumes at Grolsch's Enschede brewery following the transaction.

The acquisition will include possession of brands such as Grolsch Premium Pilsner and its varients Grolsch Premium Weizen, Spring Bock and Autumn Bock, the companies said.

SABMiller CEO Graham Mackay said: "Grolsch will provide SABMiller with a powerful addition to its international brand portfolio. Within the SABMiller family, Grolsch will continue to build on almost 400 years of brewing heritage, and together we will establish new positions in the most important emerging beer markets around the world."

Grolsch CEO Ab Pasman added: "When we were asked to consider SABMiller's proposal the key question was if greater value could be achieved than through our own existing strategy. Since this appeared to be the case we entered into discussions and we believe that SABMiller's intended offer delivers benefits to all of our stakeholders."

The offer is expected to be published in early January, followed by an EGM for its consideration will be marked by the establishment of an employee fund of EUR8m.