Foster's set to separate wine and beer businesses

28 April, 2011

Fosterís demerger of its wine and beer businesses is expected to be rubber-stamped by shareholders tomorrow (Friday, April 29).

The deal will mean that Treasury Wine Estates Ė the division which owns brands such as Penfolds, Lindemans and Rosemount Ė will become a separate entity. It currently generates A$1.9 billion in sales revenue.

The beer operation, known as Carlton & United Breweries, is best known in the UK for Fosterís lager, although the rights to that brand are owned here by Heineken UK. Its annual sales are A$2.4 billion.

Shareholders meet in Melbourne at 9am and are expected to give the go-ahead to the deal, ending 15 years of the company operating as a combined beer and wine business.

If the vote goes as expected, the two companies will legally separate on May 10, each with its own shareholding structure.




Bookmark this


Site Search

COMMENT

Richard Hemming MW: beware inverse snobbery

Few things can bring communal pleasure so intimately as wine. Apart from a hot tub, perhaps. Sport can trigger mass jubilation, film gives us shared empathy, but wine has a nigh-unique ability to bestow conviviality among us through a shared bottle Ė which makes it especially galling that we spend so much time divided over it.

Click for more »
Upcoming events

Polls

Is blended Scotch overshadowed by single malt in retailers?

  • Yes
  • No
  • Don't know

Facebook

Twitter