APB acquires 76% stake in AUBL
Singapore-based Asia Pacific Breweries has acquired 76 per cent stake in Aurangabad Breweries Ltd for $18 million.india Updated: May 02, 2006 12:59 IST
In its first significant investment in the country, Singapore-based Asia Pacific Breweries has acquired 76 per cent stake in Aurangabad Breweries Ltd for $18 million.
The deal included an entitlement for the foreign brewery to increase its stake in AUBL to 100 per cent by the end of 2008, APB said on Tuesday.
AUBL owns two breweries in Maharashtra and Goa and has a combined annual production capacity of around 250,000 hectolitres. It produces and markets local beer brands including Cannon-10000 and Arlem.
The investment for the acquisition would be funded through a combination of internal resources and external borrowings, the company said.
The acquisition closely follows APB's announcement in November 2005 to build a brewery in Mongolia. APB recently entered the Sri Lankan market via a 60 per cent stake in Asia Pacific Brewery (Lanka) Ltd.