Asahi Group has just announced the biggest purchase ever made
by a Japanese brewing firm. It is buying several eastern European beer brands from
ABInBev for $7.8billion. These include Lech, Dreher, Tyskie, Ursus, and (most
notably) Pilsner Urquell.
Just a few months ago, Asahi acquired large breweries in
western Europe, including Peroni and Grolsch, from SABMiller. The latest deal
should give Asahi approximately a 9% market share in Europe.
Especially prominent is the acquisition of Pilsner Urquell,
which has the highest market share in the Czech Republic, the top beer-drinking
country per capita in the world. However, the overall market for standard beers
in Europe is somewhat static, with more attention and growth going to premium
or craft beers.
These acquisitions are likely to have little effect on beer drinkers
in Japan. Pilsner Urquell, Dreher, Peroni, and Grolsch have long been available
at supermarkets and larger liquor stores in the country. But they should help
bolster Asahi’s bottom line, since beer consumption in Japan has been
decreasing for over a decade, and this recent purchase will increase the company's percentage
of sales from abroad to around 25%.
