Multinational Dutch brewer Heineken has agreed to acquire Brasil Kirin, one of the largest beer and soft drinks producers in Brazil, in a €665 million ($702 million) deal.
As a result of the acquisition, Heineken said it would extend its footprint in Brazil, increasing its brand portfolio and becoming the second largest beer company in the country.
Commenting on the deal, Heineken chairman and CEO Jean-Francois Van Boxmeer said: “This transaction marks a step-change in scale in an exciting beer market, building on our success to date in the premium segment and strengthening our platform for future growth. It reiterates our commitment to the Brazilian market and confidence in our ability to generate attractive returns over the long-term across all segments of the market. I look forward to welcoming our new colleagues from Brasil Kirin into Heineken and working with them to take the combined business forward”.
Completion of the acquisition is subject to customary regulatory approvals and is expected in the first half of 2017.