Heineken is closing in on a merger of its two Nigerian entities

Heineken is closing in on a merger of its two Nigerian entities

Plans to merge Heineken's Nigerian subsidiaries Nigerian Breweries and Consolidated Breweries have moved a step closer after the units' shareholders approved the deal. 

The Dutch brewer, which has majority control of both firms, announced in May its intention to combine the two companies. Today, Heineken said shareholder approval has been received from each, and the results sent to the Nigerian Stock Exchange. 

“Regulatory and other approvals are expected to take another few weeks, and until these have been obtained both businesses will continue to operate as usual,” Heineken added in a statement. 

Consolidated Breweries will be folded in to Nigerian Breweries, with the latter to remain listed on the Nigerian Stock Exchange, the company said. 

Heineken previously said the merger would allow it to capitalise on the potential of the "highly attractive" Nigerian beer market. 

Nigeria, Africa's richest country, accounts for around half of Heineken's earnings on the continent.