Sleeman Breweries of Canada has announced that it has signed a five-year deal with South African Breweries, which allows Sleeman to sell, market and distribute SAB's Pilsner Urquell brand in Canada.

The agreement could help pave the way for Sleeman and SAB breaking into the US market, as the Canadian has been allowed to sit in on talks SAB are currently having with potential US partners.

John Sleeman, chairman of Sleeman Breweries commented on the deal: "We're really excited about the deal because it means continued growth for the company and that's what our shareholders want. And it's fun taking away market share from big companies like Molson and Labatt," Sleeman said.

Mark Luce, managing director for Pilsner Urquell International said: "We are excited about the relationship with Sleeman and their ability to improve representation and distribution for Pilsner Urquell throughout Canada."

South African Breweries is the world's fourth largest brewery with 43 breweries in 20 countries.