Asahi settles Independent Liquor lawsuit

Their creative accounting was not rewarded. Two private equity firms will have to pay Asahi Group Holdings’ local subsidiaries USD 200 million (EUR 160 million) to settle a dispute over the Japanese company’s acquisition of Independent Liquor in 2011. Asahi paid Pacific Equity Partners and Unitas Capital USD 1.3 billion for New Zealand’s beverage company Independent liquor, which was the Japanese brewer’s biggest purchase at the time.

Asahi launched court proceedings in early 2013 alleging misleading and deceptive conduct by Pacific Equity Partners and Unitas Capital. Asahi claimed that the two private equity outfits had significantly inflated Independent’s earnings during the sale process.

Asahi Group Holdings’ subsidiaries will now drop their lawsuit in exchange for a NZD 220 million (USD 199.4 million) payment, the company announced on 18 November 2014.