Colombia: Antitrust probe launched against SABMiller

Colombian regulators said they opened an antitrust probe against Bavaria SA, the local unit of SABMiller plc, for pressuring retailers from selling competitors' beers, Fin 24 reported April 27.

The agency opened the investigation at the request of Dutch beer maker Heineken, which claimed Bavaria forbade retailers, bars and restaurants from selling Heineken if they wanted to carry SABMiller's Italian-brewed Peroni brand, the agency said in a statement.

"We opened a formal investigation against Bavaria as there is evidence that it may have taken advantage of its dominant position in the market to block the access of other premium beers," said Jairo Rubio, head of the antitrust agency.

Bavaria gave money and other incentives to some bars and restaurants to dissuade them from selling premium brands other than Peroni, Rubio said.

If found guilty, Bavaria faces a fine of as much as US$377 000, Rubio said.

Bavaria has three to six months to present its evidence. It can appeal any decision by the antitrust body.

Bavaria, which controls about 99% of the Colombian beer market, introduced the Peroni brand in Colombia last year to compete with other imported beers such as Heineken and Corona, made by Mexican brewer Grupo Modelo.

London-based SABMiller paid more than US$9bn in 2005 and 2006 to buy more than 98% of the shares in Bavaria.

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