Japanese brewer Kirin will buy Mandalay Brewery for an estimated several hundred million yen in to strengthen its presence in the Asia-Oceania region, according to a newspaper on February 11.
Operated by the military-backed Myanmar Economic Holdings, Mandalay Brewery is the country's oldest brewery based in the northern city of Mandalay. Kirin will create a local subsidiary to take over the business and the deal is expected to be approved soon.
In 2015, Kirin bought the local market leader Myanmar Brewery, with the successful purchase of Mandalay Brewery, it will give Kirin 90% control of the country's beer market.
The Japanese company seeks an edge against foreign rivals such as the Netherlands' Heineken, Denmark's Carlsberg in Myanmar.
As per records, Myanmar's beer consumption reached 210,000 kiloliters in 2014. The market is expected to doubled by 2018.
While in Australia, the Japanese company turned Lion into a subsidiary in 2009, taking 48% stake in the beer unit of the Philippines' San Miguel.