Nigerian Breweries Plc (NGX: NB) has officially completed the acquisition of a majority stake (80%) in Distell Wines and Spirits Nigeria Limited (Distell Nigeria).
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Investogist reported in May 2024 that Nigerian Breweries had been presented an offer to acquire majority interest in Distell Wines & Spirits Nigeria Limited, producers of Chamdor non-alcoholic sparkling wine, Amarula, Savanna, among many others.
The completion of the transaction follows the approval of the South Africa Reserve Bank (SARB) for the acquisition by Nigerian Breweries Plc, of the shares of the South African
entity, Distell International Limited (now known as Heineken Beverages Holdings Limited) in Distell Nigeria, as well as the import business of Distell International Limited in Nigeria.
According to the Managing Director, Nigerian Breweries Plc, Hans Essaadi, the acquisition and subsequent commencement of business operations align with the strategic objective of the brewery company to expand its current product offerings beyond beer to include wines, spirits, and flavored alcoholic beverages.
Essaadi, noting that the company remains unwavering in its commitment to cater to the diverse needs of consumers, said “This acquisition is part of efforts to provide access to a complementary multi-category portfolio of fast-growing brands of wines and spirits market segment and capture significant growth opportunities in the wines and spirits segment of the brewing industry. We are excited to have the process completed and can’t
wait to see how this transforms our business”.
In his remarks, the Managing Director, Distell Nigeria, Mr. Steve Ighorimoto, stated that the acquisition is an exciting new chapter for the company as it would help increase the capacity necessary to achieve improved business performance.
“We are excited to be a part of Nigerian Breweries, as we share in the solid track record of growth, including a highly engaged, dynamic, experienced, and diverse team. These changes will strengthen the organization’s manufacturing, marketing, and distribution capabilities while ensuring sustainable growth and maximum value creation for all stakeholders,” he said.
About Nigerian Breweries
Nigerian Breweries Plc, a public company quoted on The Nigerian Exchange Limited, was incorporated on the 16th of November, 1946, under the name, Nigerian Brewery Limited.
The name was changed on the 7th of January, 1957, to Nigerian Breweries Limited and thereafter to Nigerian Breweries Plc in 1990.
The Company is a subsidiary of Heineken N.V. of the Netherlands, which held 56.69% interest in the equity of the Company as at 31st December, 2022.
About Distell Nigeria
Distell Nigeria is a subsidiary of Distell International Limited (100% owned by Heineken Beverages). Distell International Limited owns 80% shareholding in Distell Nigeria, which was founded in 2018 with its headquarters in Lagos, Nigeria.
Distell Nigeria’s operations are in two folds:
- Local production of wines (still and sparkling) and ciders; and
- Importation of wines, spirits and flavoured alcoholic beverages from Distell Group in South Africa.
Its brand portfolio include Amarula, JC Leroux, Nederburg, Drostdy Haf, 4th Street, Bain’s, Knights, Chamdor, Hunters and Savanna
Nnamdi Maduakor is a Writer, Investor and Entrepreneur