AB INBEV to set up over $250 million facility in Nigeria
The Nigerian brewery industry may soon receive a boost, as the world’s largest brewer, with 30 per cent global market share plans to set up its African second largest facility in Nigeria, a replica of what is obtainable in South Africa.
AB INBEV has completed arrangement to invest over $250million in the Nigerian beer industry by Q2 2018, giving it a competitive edge over other African competitors in the same business.
AB INBEV is a multinational company, operating in 25 different countries; with well-known brands are Budweiser, Bud Light, or Stella Artois.
Besides, the company also announced a proposed merger of its three Nigerian subsidiaries; International Breweries Plc, Intafact Beverages Ltd., and Pabod Breweries Ltd.
Speaking at a media briefing recently in Lagos, the Managing Director Designate, International Breweries Plc, Mrs Annabelle Degroot, said the facility, which would be located in Sagamu, Ogun State, will attract Foreign Direct Investment (FDI) into Nigeria, and increase job creation.
Presently, International Breweries, which is a listed company, has 1.5 million hectolitre capacity, while Intafact beverages based in Onitsha, Anambra State, has a capacity of 2.7 million hectolitre, and Pabod Breweries, Port Harcourt, Rivers State, has 1.5 million hectolitres capacity.
“We are investing in a large brewery outside of Lagos, and it is our largest in Africa, outside South Africa. It is over $250million investment facility. We have decided that running these three companies individually has not been as efficient as it can.
“We have reached a size where it makes sense now for us to merge these companies together, and act as one larger corporation in Nigeria. The Board of Intafact and the other two companies welcome it.”
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