Denmark’s Royal Unibrew has announced that it has acquired full ownership of Norwegian brewer and beverage company, Hansa Borg Bryggerier.
Royal Unibrew, which already owned 25% shares in the company, has agreed to acquire the remaining 75% shares.
Hansa Borg Bryggerier operates four breweries and one bottling plant in Norway and its product range includes beers, ciders, soft drinks, water, and wines.
The acquisition will create a strong multi beverage market position for Royal Unibrew in Norway, which in September 2021 acquired the Solera Beverage Group.
CEO of Royal Unibrew, Lars Jensen, said, “We have been minority shareholders in Hansa Borg Bryggerier since 2002 and have for a long period of time wanted to expand our partnership for mutual interest.
“I am happy that it has finally succeeded and look very much forward to developing Hansa Borg Bryggerier into the leading multi beverage provider in Norway.”
The enterprise value of the transaction is NOK 3.3 billion (€330 million) for 100% of Hansa Borg Bryggerier, with close to zero debt at the time of signing.
Before the transaction, Royal Unibrew owned 25% of Hansa Borg Bryggerier, meaning that the net amount paid during this transaction would be 75% of the enterprise value, or NOK 2.5 billion (€250 million).
As part of the agreement, the brewer will pay 10% of the net amount, corresponding to NOK 231 million (€23.1 million), while the remaining 90% will be paid in Royal Unibrew shares.
The share payment will consist of 2,194,257 shares, which will be a mix of 794,257 treasury shares and 1,400,000 new shares.
The closing of the transaction is subject to approval from the Norwegian Competition Authority, which is expected in the first half of 2022.
CEO of Hansa Borg Bryggerier, Lars Giil, said, "With a strong industrial owner as Royal Unibrew behind us, we will get access to a lot of insight and resources that I am sure will strengthen our position in the market even further as well as ensuring that we have the necessary investment power for the future. I am convinced that the new ownership structure will create significant synergy effects."