Heineken has finalized its Brasil Kirin Holding acquisition and can now focus on its charge into the third largest global beer market and home to its major competitor AB InBev.
Second largest in Brazil
Brasil Kirin’s largest beer is Schin, but it also has brands like Baden Baden, Devassa and Kirin Ichiban. Kirin used to be Japanese Kirin Holding Company’s subsidiary, but Heineken struck a deal for about 630 million euro in February.
The deal is an important step for Heineken in the third largest global beer market, following China and the United States. It also grants the company a larger stake in its competitor AB InBev’s second home.
Heineken entered the Brazilian market in 2010 when it acquired Fomento Económico Mexicano and currently has a 10 % market share and five local breweries. Brasil Kirin has twelve manufacturing plants in the area and a strong network in the north and northeast of Brasil, which happen to be weaker areas for Heineken. Kirin has a 9 % market share in Brazil.
In total, Heineken now has nearly 20 % in market share, which propels it to second place in Brazil, although far behind AB InBev (with 65 %).
