SABMiller buys SWC stake in JV

SABMiller PLC on Friday announced that its Indian subsidiary, MBL Investments, Mysore, has acquired the Shaw Wallace group’s 50 per cent interest in the Indian joint-venture. MBL now owns 99 per cent of the brewing operations with the balance of shares held by third party minority investors.

Shaw Wallace has entered into an agreement with MBL Investments to sell its entire holding in the joint venture brewery company for an undisclosed sum. The company also entered into a licensing arrangement in respect of trademarks for the highly popular brand ‘Royal Challenge’ and ‘Haywards’ at a total consideration of Rs 158 crore, the company said.

Shaw Wallace and Company had floated the 50-50 joint venture with SABMiller in 2003 to bifurcate its brewery business from the liquor company.