Serm Suk, the Thailand-based soft drinks producer, has agreed to sell the Est cola brand to ThaiBev subsidiary International Beverage Holdings for THB1.56bn (US$48m).

In a filing today, Serm Suk said its board has approved the “conditional” sale of the Est brand and its trademark. The Est trademark is currently owned by Great Brands Ltd, a Hong Kong-based subsidiary of Serm Suk.

Serm Suk is itself majority-owned by ThaiBev's Thai Beverage Logistics, following a deal in 2011.

Explaining the sale, Serm Suk said it recognised that brand building required “large investment” over a long period. The company will retain contract manufacturing and distribution of the brand in Thailand as part of the deal.

Est cola, which was launched two years ago, has a 12% share of Thailand's CSD market, according to Serm Suk.