Investment house UBS has raised its rating on shares in Danish brewing combine Carlsberg AS from "reduce" to "neutral". The bank has also increased its target price for Carlsberg from DKK315 to DKK330.

The upgrade stemmed from an increase in the equity valuation of the Carlsberg/Scottish & Newcastle Russian joint venture Baltic Beverages Holding (BBH) from EUR2.7bn to EUR3.1bn. UBS also increased its target price on S&N from GBP4.50 to GBP4.70.

UBS reckons BBH will be able to increase volumes and reduce capital spending.