INDIA: SABMiller signals interest in Mohan Meakin
SABMiller has signalled its interest in buying Indian beer maker Mohan Meakin but faces stiff competition from rival global brewers, just-drinks understands.
It is understood that SABMiller, the second-largest brewer in India, has outlined its interest to acquire Mohan Meakin in time for today's (23 December) deadline for submissions. The brewer has set aside US$125m to strengthen its presence in India over the next five years through acquisitions and brand investment.
Mohan Meakin controls 8% of India's beer market with its stronghold the state of Tamil Nadu, one of India's three largest states in terms of beer consumption.
SABMiller, which owns 10 breweries throughout India, has a bottling agreement with Mohan Breweries in Tamil Nadu but does not have a direct brewing presence in the state. SABMiller is thought to control around 31% of India's beer market and the acquisition of Mohan Meakin would leave it hot on the heels of market leader, United Breweries (UBL).
SABMiller's agreement with Mohan Breweries - run by a close associate of the family that owns Mohan Meakin - would appear to make it the front-runner in the race for the brewer. The London-based brewer declined to comment on the matter, however.
However, just-drinks understands that InBev has been eyeing the situation closely. InBev refused to comment on the sale of Mohan Meakin but it has long been interested in entering India's fast-growing beer market. InBev last year narrowly missed out on joining forces with UBL, which decided instead to team up with the UK's largest brewer, Scottish & Newcastle.
Heineken, through its Asian joint venture with Asia Pacific Breweries, is another global brewer said to be interested in Mohan Meakin. APB has signalled its interest in the Indian market in recent months.
However, Heineken and APB also refused to comment.
The global roll-out of InBev's Brazilian beer, Brahma, adds a third premium brand to the global brewer's international portfolio but some observers have suggested it's an unnecessary step which threat...
San Miguel Brewery Hong Kong has secured a deal to distribute InBev's products in the city and neighbouring Macau....
Investment bank Goldman Sachs has restarted coverage of InBev. It has given the world's largest brewer by volume an "outperform" rating....
InBev, is to close its Labatt's Toronto brewery by the end of the year, with repercussions for some 265 employees. ...
Heineken has acquired a 40% stake in a Chinese brewery....
Heineken Espana is looking to invest heavily in a new plant in southern Spain....
Carlsberg cannot compete with some of the larger global brewers when it comes to earnings, according to the Danish company's CEO....
InBev has added a Russian brewery to its pilot project to improve efficiency throughout its operations....
- Cannabis – A clear and present danger to alcohol
- Is Irish whiskey ready to recognise its potential?
- Interview - Bernstein analyst Trevor Stirling
- Global Travel Retail - What is the Grey Market?
- The European beer market - Focus
- Diageo appoints first programmatic marketing head
- Corporate Relations Director to leave Diageo
- Bacardi names new global communications head
- Diageo strike threat postponed with fresh vote
- Pernod Ricard pairs Usain Bolt with Mumm Champagne