Blog: S&N and Carlsberg - who's fanning the flames?
Olly Wehring | 22 February 2006
What would our lives be like, as journalists, without rumour or speculation? Certainly, it would be a great deal quieter, and probably a tad duller as well. Sometimes, however, one can’t help feeling that one’s been here before, as M&A talk begins to repeat itself over and over again.
Much as I’d love the job of sitting in a darkened room making some of this stuff up, I can assure you that we here at just-drinks are not in the pot-stirring business. We’re proud to tell you what’s what in the drinks world, and leave the tittle-tattle to journos with more time on their hands.
Speculation over a possible permanent get-together between Scottish & Newcastle and Carlsberg has been around for quite some time now. And every time one of them hits the headlines, it seems the talk gets louder. Indeed, with the two of them working so well together in their Eastern European enterprise, Baltic Beverages Holding, to many it looks like a match made in heaven.
Add to this the fact that, in the last few days, S&N has confirmed that it is looking to close one of its Kronenbourg breweries in France, while Carlsberg will shut its plant in Valby, near Copenhagen, in 2008, and you will understand why some see it as a case of when and not if.
Speaking to just-drinks yesterday (21 February), S&N’s CEO, Tony Froggatt, trotted out a phrase he feels he must say almost daily: “From our point of view, we are very happy with the relationship that we have with Carlsberg right now.” With S&N’s UK operating profit last year rising by an impressive 10.2%, it’s understandable why Froggatt was smiling when fielding our question.
“I’m not sure where these rumours come from,” he added. “They’ve been popping up for years.”
Speaking to the Danish press today, Carlsberg chairman Povl Krogsgaard-Larsen also trashed the talk: “If one can buy Carlsberg? The answer is no. Neither are there thoughts of a merger or merger possibilities.
“The one Carlsberg that is for sale is our beer.”
Of course, the rule of thumb has always been that there’s no smoke without fire – in this instance, however, we could all eventually end up very cold.
Collecting wine is big business – and so is faking it. So, how do you tell your Chateau Lafite from your Chateau La Counterfeit?...
Here in London, the second Wine Week has kicked off to coincide with UK wine trade event London Wine Fair. ...
Commuting in London is a drag. It’s overcrowded, sweaty and rarely goes to plan. In fact, it’s enough to turn a person to drink....
When it comes to market speculation, a company holds the prerogative to comment or not. Most times it is the latter, but we journalists are always grateful for any quote that we can get....
- SABMiller & Meantime: Notes for the New Owner
- Comment - How to Target Cognac's Mok Generation?
- Focus - The Prosecco shortage that isn't
- Analysis - The Value of Prosecco
- Analysis - Keurig Kold fails to impress
- Whyte & Mackay takes on Flor de Caña in UK
- Diageo takes Baileys, Gordon's marketing in-house
- Carlsberg cuts 180 staff
- Suntory to buy Japan Tobacco beverage unit
- Mixto Tequila poised for "golden age"
- Global Tequila insights - market forecasts, product innovation and consumer trends research
- Africa: The Final Frontier for Beer
- Global Scotch whisky insights - market forecasts, product innovation and consumer trends research
- Global rum insights - market forecasts, product innovation and consumer trends research
- Diageo plc (DGE) - Financial and Strategic SWOT Analysis Review