Magazines Archives - 2007 October
Carlsberg embarks on new brewery venture in Vietnam
TO step up its presence in the growing Vietnamese economy, Danish brewer Carlsberg has embarked on a joint venture with Vietnams Hanoi Beer and Beverage Corporation (Habeco) to build a new brewery in the countrys south.
The joint venture, Hanoi Vung Tau Joint Stock Company, is located in Vung Tau province outside Ho Chi Minh City.
Earlier this year, Vietnams Ministry of Industry gave the thumbsup to Carlsberg as Habecos strategic foreign investor in light of the latter groups upcoming privatisation. The joint venture is in line with Carlsbergs plans to expand further into the region. We believe growth in the future will come from Asia, said Jesper Madsen, senior vice-president of Carlsberg Asia.
In August this year, the group announced that its sales in Asia had grown by 12% over the past six months. Group CFO Jorn Jensen added that growth will be both organic and by acquisition. Carlsbergs sales growth in Vietnam is expected to exceed 40% to 28.1 million hectolitres over the next eight years, making the market the groups third-largest in Asia.
Since Carlsbergs entry into Vietnam in 1993, the group has expanded its business in the country through joint ventures with three local companies, South East Asia Brewery, Hue Brewery and Halong Brewery. It holds 60%, 50% and 30% equity in each, respectively.
In the latest partnership, the Danish brewer and Habeco will each have a 29% share in the joint venture, with external investors holding the remaining stake.