Singapore's APB to set up new brewery in India
Singapore's Asia Pacific Breweries (APB) has teamed up with New Delhi-based Jaipuria group to set up its second brewery in India at a cost of $15 million.
By PTI |
KUALA LUMPUR: Singapore's Asia Pacific Breweries (APB) has teamed up with New Delhi-based Jaipuria group to set up its second brewery in India at a cost of $15 million.
The new brewery will add more froth in India's largest beer-consuming state, Andhra Pradesh, which has a population of 100 million.
APB holds a 67 per cent stake in the new joint-venture entity, Pearl Breweries, which will build a greenfield brewery with an initial capacity of 250,000 hectolitres on the outskirts of Hyderabad. The brewery is expected to start operating late next year.
It marks APB's second investment in India in as many months. In May, APB bid 18 million to acquire 76 per cent of Aurangabad Breweries.
"India is a rapidly expanding economy and it presents exciting growth opportunities for APB," said chief executive Koh Poh Tiong. As we seek to increase our footprint in India, it is critical that we establish a presence in key markets like Andhra Pradesh, he was quoted as saying by a local Singaporean paper.
ADVERTISEMENT
India's per capita beer consumption is less than one litre a year so it presents a significant growth opportunity, said the brewer. APB's partner for its latest joint venture, Jaipuria Beverages & Food Industries, is part of the Jaipuria Group.APB said the initial investment in the venture is estimated to be $15 million with an equity portion comprising about $10 million.
Start a SIP with as low as ₹500 with ET Money App!
Download
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
The Economic Times News App for Quarterly Results, Latest News in ITR, Business, Share Market, Live Sensex News & More.
ADVERTISEMENT
