Heineken acquires Bere Mures in Romania
It was an easy gamble: Heineken or SABMiller. At the end of February, it was official: Heineken had clinched the deal to acquire the Romanian brewer Bere Mures. The transaction will increase its market share to 31 percent and its volume to 6 million hl.
The proposed acquisition is still subject to approval by the Romanian competition authority. Heineken refused to disclose how much it paid for Bere Mures, only saying that it will be earnings enhancing in 2009 and value enhancing in 2012.
Bere Mures, established in 1992, is situated in Targu Mures in the Transylvania region, 300 km northwest of Bucharest and employs 394 staff. Heineken says that the business is profitable. In 2007 its sales volume was 1.2 million hl beer and mineral water, its production capacity 1.6 million hl.
Bere Mures has a beer portfolio which includes Neumarkt, one of the country’s leading beers, and the smaller Dracula and Sovata brands. All brands are available in non-refillable PET packaging.
The company also owns two profitable mineral water brands, Cezara sparkling mineral water and Cheile Cibului still water. Whether Heineken will keep these brands remains to be seen.
Not included in the transaction is Bere Mure’s health spa complex, which the group had been desperate to flog off together with the beer and beverage businesses.
Heineken already owns four breweries in Romania: in Constanta, Craiova, Hateg and Miercurea Ciuc. The brand portfolio consists of Heineken, Ciuc, Golden Brau, Bucegi, Gösser and a number of regional brands. Currently, Heineken Romania has a market share of approximately 26 percent.
In 2007, the size of the Romanian beer market was 19 million hl with a per capita consumption of 89 litres. In 2008 the beer market is expected to continue to grow.
