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United Breweries, Heineken may form Indian venture

NEW DELHI, May 28 (Asia Pulse) - Vijay Mallya-led United Breweries (UB) and Dutch beer maker Heineken could come together in the Indian market, following the exit of Jaipuria from Asia Pacific Breweries-Pearl.

"Talks between both companies (UB Group and Heineken) are in the advance stages and soon both will announce the deal," a source familiar with the development said.

The two firms are looking at floating either a special purpose vehicle or a joint venture and bring together their distribution businesses under a single entity, the sources said.

The two firms had been locked in conflict of interest battle after Heineken, in collaboration with Danish brewing major Carlsberg, acquired UK-based Scottish & Newcastle (S&N), which had around a 37 per cent stake in United Breweries.

Heineken's interest in APB-Pearl -- a joint venture between its Singapore-based subsidiary Asia Pacific Breweries (APB) and Jaipuria Beverages & Food Industries -- had proved to be a roadblock with UB objecting on the ground of conflict of business interest.

UNITED BREWERIES, HEINEKEN MAY FORM INDIA-BASED JOINT VENTURE $all $in $eur $fod $jtv With ABP acquiring the entire 33 per cent stake of Jai

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