SABMiller PLC said its China Resources Snow Breweries Ltd joint venture (CR Snow) with China Resources Enterprise Ltd has agreed to acquire three breweries in Anhui, Liaoning and Zhejiang provinces in three separate transactions for a total of US$110 million, of which approximately US$93 are million in cash.
CR Snow has agreed to acquire the brewing assets of Anqing Tianzhu Beer Co, Liaoning Songlin Brewery Group Co Ltd and Zhejiang Luck Beer Co Ltd through three newly-formed subsidiaries in which it will own 80, 85 and 100 percent respectively.
Following the investment, the operations will add a total of 4.7 million hectoliters to CR Snow's existing production capacity of about 117 million hectolitres.