Heineken, the world’s third largest brewer, has acquired the beer operations of Femsa, the Mexican maker of brands including Dos Equis and Sol, for Eu5.3bn (£4.8bn).
As part of the deal, Heineken will purchase Femsa Cerveza, comprising 100% of the company’s Mexican beer operations and the remaining 83% of the Brazilian beer business that the Dutch brewer does not currently own, through an all share transaction.
Under the agreement, Femsa will hold a 20% stake in the Heineken Group, making it the second largest shareholder and giving it the right to appoint two non-executives to the supervisory board.
Jean-Francois van Boxmeer, Heineken’s chief executive, said: “The transaction is expected to be earnings-per-share accretive after two years and to deliver positive economic profit after six years.
“Through this deal we become a much stronger, more competitive player in Latin America, one of the world's most profitable and fastest growing beer markets.
“The acquisition strengthens considerably our position within the global beer market, expands our portfolio of leading international brands and enhances our leading position in the US import market.”
