The Carlsberg Group will increase its ownership to 100% in Wusu Beer Group (WBG) based in Xinjiang, China.
WBG owns six breweries in Xinjiang with a combined annual production capacity of approximately six million hecto liters.
WBG is a 50/50 joint venture between the Carlsberg Group and Xinjiang Hops.
And Carlsberg owns 30% in Xinjiang Hops.
The acquisition is done through an asset swap, where Carlsberg will acquire Xinjiang Hops’ 50% stake in WBG and dispose of the 30% stake in Xinjiang Hops.
The transactions are inter-conditional, and Carlsberg will receive a net cash proceed of approximately DKK 200 million (US$28.8 million) upon completion.
The transaction is conditional upon certain approvals and expected to be finalized at the end of 2015.