PERU: SABMiller to invest over US$90m in Backus arm
SABMiller plans to invest over US$90m in its Peruvian operations to maintain its dominance of the country's beer market.
The London-listed brewing giant took control of Peru's largest brewer, Backus, after its acquisition of Latin America's second largest brewer, Bavaria, last year.
SABMiller is planning "significant" investment across the business in boosting production and improving the packaging, marketing and distribution of its brands in Peru, a spokesman told just-drinks today (31 March).
"We are making a significant investment in packaging and marketing to improve our competitive situation," he said.
SABMiller expects higher profits from Backus this year as beer consumption continues to grow in the emerging beer market. Backus controls over 90% of the beer market in Peru but its dominance has failed to dissuade InBev's Brazilian unit AmBev from entering the market last year. AmBev is said to have grabbed around an 18% share of the market in the Peruvian capital, Lima, but its performance is so far not worrying SABMiller.
"We're entirely confident in the competitive situation in Peru," the spokesman added.
Yesterday, SABMiller said it had bought up the bulk of the shares in Backus and owned 89.5% of the brewer. It extended its offer to buy the rest of the shares to 5 April.
SABMiller has had its share recommendation upped....
AmBev Peru is to launch a new beer in the market that will bring competition to a market so far dominated by the monopoly of Union de Cervecerias Peruanas Backus & Johnston SAA, or Backus....
InBev said yesterday that its General Shareholders Meeting of April 26, 2005 approved the annual accounts 2004, as well as the gross dividend of €0.39 proposed by the board of directors....
InBev, the world's largest brewer by volume, said it has achieved overall organic volume growth of 4.1% in the first quarter of 2005, to 47.3m hectolitres, despite tough conditions in the US and Weste...
Stella Artois is to launch a new global advertising campaign, according to press reports....
InBev has sold its majority stake in Bosnia's Uniline brewery, according to local reports....
InBev has made an offer to acquire the remaining minority interests in its Russian business SUN Interbrew Ltd (SIL) that it doesn't own, at a price of US$33.41 in cash per security....
Only one bid has been made for Serbia's 51.31% stake in Beogradska Industrija Piva (BIP)....
- Comment - Diageo CFO to North America? Do the Math
- Rekorderlig Deal Sees Molson Coors Miss Out
- 5 reasons why Constellation's Meiomi buy works
- Hail Marie Brizard: But, For How Long?
- Constellation Brands basks in beer glory
- Diageo ditches Shui Jing Fang plans in China
- MillerCoors changes CMOs with immediate effect
- C&C Group chairman backs CEO amid turmoil
- Molson Coors acquires Rekorderlig UK rights
- William Grant partners Rugby World Cup