Heineken to take control of last major UK brewer by May

04 April, 2008

Heineken will take control of Scottish & Newcastle's brewing operations in the UK at the end of April, after shareholders of the last remaining major UK brewer approved a takeover this week.

The £7.8 billion deal will also give Carlsberg

the rights to S&N's overseas businesses - including full control of Baltic Beverage Holdings, previously a joint venture with the UK brewer.

The deal means that Heineken will add Foster's and Kronenbourg 1664 to its portfolio, as well as the Bulmers and Strongbow cider brands. The Dutch brewer has indicated that all S&N's brands - which also include John Smith's and Newcastle Brown - are likely to remain in the portfolio.

Carlsberg and Heineken fought a lengthy battle to take control of S&N, which was originally resisted by the board, but

was finally recommended to shareholders

when the offer rose from an initial bid of 720p to 800p per share.

New Nielsen Scan Track numbers show Carlsberg as the top take-home brand portfolio, by volume, in the UK. It is the first time in 10 years that an Artois family brand has not occupied the number one position, according to Carlsberg.

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