Belgium's Interbrew said today it had bought control of Chinese brewer Zhejiang Shiliang for $53.2 million in what is the latest acquisition by a western brewer in China's competitive beer market.
Interbrew, which plans to merge with Brazil's AmBev to create the world's largest brewer, said it had bought 70 per cent of the brewer, strengthening its position in the Zhejiang province.
"Pursuant to this transaction, the company will have a market share close to 50 per cent (in the province)," it said in a statement. nterbrew expected to close the deal this summer.
Interbrew, known for global brands Stella Artois and Beck's, said it completed the deal at an enterprise value to earnings before interest, tax, depreciation and amortisation (EBITDA) multiple of 11.6 per cent.
Interbrew shares were off 0.39 per cent at €25.70 in light Brussels trade.
Earlier this month, Anheuser-Busch beat SABMiller with a $720 million bid for Harbin Brewery.