Nigerian Breweries Aims High: Seeks Shareholder Nod for Strategic Distell Acquisition 

Nigerian Breweries Plc, a leading player in the Nigerian beverage industry, has set its sights on a significant expansion move. The company announced plans to acquire a major stake in Distell Wines & Spirits Nigeria Limited, a move that could reshape the beverage market in Nigeria. 

This decision was revealed in a notice to the Nigerian Exchange Limited and the investing public. The ambitious move involves Nigerian Breweries acquiring an 80% economic interest in Distell Wines & Spirits Nigeria Limited. 

This acquisition, subject to shareholder approval and regulatory processes, is not just a financial transaction but a strategic step aligning with Nigerian Breweries’ broader objectives. 

How Nigeria breweries aim to accelerate the move

The company aims to diversify its portfolio, extending beyond beer to encompass wines, spirits, and flavored alcoholic beverages.

To facilitate this significant acquisition, Nigerian Breweries will convene an Extraordinary General Meeting (EGM) of its shareholders. This meeting is crucial as it gives the shareholders a voice in this significant decision, ensuring transparency and collective agreement in the company’s strategic direction.

Uaboi G. Agbebaku, the Company Secretary of Nigerian Breweries, signed the statement announcing this development. The company’s Board, after a detailed review and a special meeting on November 16, 2023, decided to recommend this acquisition to its shareholders. 

The deal includes not just the 80% stake in Distell Nigeria but also 100% of the import business of Heineken Beverages (Holdings) Limited in Nigeria. This encompasses the marketing, distribution, and potential local production of imported brands.

The proposed acquisition is seen as a pathway to growth and long-term profitability for Nigerian Breweries. It presents an opportunity to broaden the company’s market reach and product offerings, positioning it strongly in the competitive beverage industry. 

Distell Nigeria, a subsidiary of Distell International Limited (wholly owned by Heineken Beverages), brings to the table a diverse portfolio of brands including Amarula, JC Leroux, and Nederburg.