The brewer is spending £50 million on the brewery and £58 million on the cider plant, and technology at both sites with be given modernised.
Capacity at the Manchester site, where Foster’s and Kronenbourg 1664 is produced, will rise by around 2 million hl per year.
Heineken said in Hereford it aims to “create a world class cider production facility capable of supporting Heineken’s growth in this exciting and dynamic category”.
David Forde, UK Managing Director of Heineken, said: “Heineken is the UK’s leading beer & cider business, a position that we are proud of and determined to build upon. These major investments are a clear demonstration of our long-term commitment to the UK.”