Heineken increases stake in Nigerian Breweries

Netherlands-based Heineken N.V. has acquired additional equities stakes in Nigerian Breweries in deals valued at about N138.1 million.

The latest acquisitions were struck between September 8 and 11, 2020 as transaction reports at the Nigerian Stock Exchange (NSE) showed that Heineken, through Heineken Brouwerijen B.V, acquired 3.35 million ordinary shares of 50 kobo each in Nigerian Breweries (NB) at an average price of N41.16 per share.

It had between August 27 and August 31, 2020, acquired 0.192 million ordinary shares of 50 kobo each of NB at an average price of N37.13 per share.

These acquisitions came after it was reported that Heineken had bought additional stakes to increase its majority shareholding in Nigerian Breweries to 55.9543 per cent.

Prior to the recent streaks of acquisitions, Heineken’s holdings in Nigerian Breweries were held by Heineken Brouwerijen BV, 37.76 per cent; Distilled Trading International BV, 15.47 per cent and Heineken International BV, which held 2.72 per cent.

With the initial acquisitions, Heineken Brouwerijen BV’s holding increased to 37.7643 per cent.

The latest acquisitions represents 0.0024 per cent equity stake, increasing Heineken Brouwerijen BV’s shareholding to 37.7667. Thus, Heineken’s majority shareholding now stands at 55.9567 per cent.

The new share acquisitions are significant for the multinational as every additional share increases Heineken’s control on the Nigerian subsidiary.