Nigerian Breweries (NB) said Monday it had secured regulatory approval to merge its operations with rival Consolidated Breweries, majority owned by its parent firm Heineken.
Heineken, the majority shareholder in Nigerian Breweries, acquired a controlling stake in Consolidated Breweries in 2005.
It had said then that it would seek approvals to merge both businesses to take advantage of Nigeria’s growing market for beer and malt drinks.
Nigerian Beweries, a unit of the world’s third biggest brewer, Reuters reports, said it had won Nigeria’s Securities and Exchange Commission approval for the merger and would now seek shareholders’ vote on the deal.
Neither firm disclosed the value of the deal. Nigerian Breweries, listed on the Nigerian Stock Exchange will be the surviving entity after the merger.
