News

PERU: Backus upgrades operations, prepares merger

Most popular

Van Boxmeer leaves behind a more worldly Heineken

Why rum should ignore its past to win today

Heineken’s footprint leaves big shoes to fill

Diageo in North America - Focus

just-drinks speaks to Pernod's CEO of EMEA & LatAm

MORE

Backus and Johnston is to upgrade its operations in Peru.

The SABMiller subsidiary confirmed today (25 August) that it will spend US$102m between now and March next year on infrastructural projects in its home country.

Among the areas set to benefit from the investment are the Ate facility, east of Lima, which will have its brewhouse expanded, and the brewery in Motupe, northern Peru, which will get a new brewhouse altogether. At the same time the company's packaging capabilities across Peru will be upgraded, while US$12m will be spent on fridges, coolers and trade equipment, with the aim of improving the accessibility of cold product to all Peruvians.

"The investments will serve to extend the production capacity in the brewery plants in Lima as well as interior of the country, which will comply with the most modern technology in brewing, fermentation and packaging processes," said Backus president Robert Priday. "The investment will ensure that we can sustain and improve on the high quality of beer we have become renowned for.

"It is also a reflection of our commitment and confidence in our operation in the country. The steady improvement in the local economy deserves to be rewarded with investments of this nature."

Separately, Backus announced a proposed merger with Cervesur, its majority-owned affiliate and other affiliate companies. The company said that this nil-premium transaction will serve to simplify and streamline SABMiller's operations in Peru into a more directly manageable and accountable holding structure. Backus bought almost all - 98% - of the shares in Cervesur in 2000 for US$124m.

SABMiller acquired a controlling stake in Backus last July as part of its takeover of Colombia's Bavaria. Earlier this year, SABMiller confirmed that it had bought up almost all the shares in the Peruvian company.


Related Content

Anheuser-Busch InBev to offload Australia operations to Asahi

Anheuser-Busch InBev to offload Australia operations to Asahi...

Anheuser-Busch InBev, Anadolu Efes to challenge Carlsberg with Russia merger

Anheuser-Busch InBev, Anadolu Efes to challenge Carlsberg with Russia merger...

Brynwood Partners creates US contract-manufacturing hub with Carolina Beverage, Cold Spring Brewing merger

Brynwood Partners creates US contract-manufacturing hub with Carolina Beverage, Cold Spring Brewing ...

Middle-class Millennials, working with Tencent and using Big Data – Pernod Ricard's operations in China - Focus

Middle-class Millennials, working with Tencent and using Big Data – Pernod Ricard's operations in Ch...

Oops! This article is copy protected.

Why can’t I copy the text on this page?

The ability to copy articles is specially reserved for people who are part of a group membership.

How do I become a group member?

To find out how you and your team can copy and share articles and save money as part of a group membership call Sean Clinton on
+44 (0)1527 573 736 or complete this form..



Forgot your password?