China: Heineken N.V. announced on January 21 that it is in preliminary discussions, through its associated company Heineken Asia Pacific Breweries China Pte Ltd (Heineken-APB), with GDH Limited, the controlling shareholder of Kingway Brewery Holdings Limited in China, regarding a possible increase of its 21%-shareholding interest in Kingway, China's second-largest brewer. The company mentioned the discussions are very preliminary at this stage and may or may not lead to any transaction. During the discussions Heineken will not comment further, it revealed.

Heineken now holds 21.4 percent of Kingway and may buy more of its shares, Kingway said in a statement. GDH Ltd., an investment arm of the Guangdong provincial government in southern China, owns 52.6 percent of Kingway, the statement said. Heineken, which makes Murphy's stout, bought a 21 percent stake in Kingway for about $71 million last year.

Shares in Kingway Brewery had their biggest surge in more than six months yesterday. They rose 19 percent to HK$2.625. Kingway shares have risen 8 percent the past six months. Kingway is the second-largest brewer in China's southern province of Guangdong, one of the country's richest. The brewer controls about a fifth of Guangdong's beer market and produced about 400,000 metric tons of beer last year.

Heineken-APB is part of the 50-50 joint venture between Heineken and Fraser & Neave in the Asia-Pacific region.

Brewers abroad such as Anheuser-Busch and SABMiller Plc, facing stagnating home markets, have been trying to expand in China, where beer sales are growing. China's 1.3 billion people each consume an average of just 18 liters of beer a year, compared with as much as 80 liters per head in Europe. St. Louis-based Anheuser-Busch last year acquired Harbin Brewery Group Ltd., trumping a rival offer from SABMiller. Aside from its namesake brew, Heineken also makes Amstel lager and Murphy's stout. Heineken bought 21 percent stake in Kingway for about $71 million.

E-malt.com, la fuente de información global para los profesionales de la industria cervecera y de malteado. Los boletines quincenales de E-malt.com incluyen las últimas noticias de la industria, estadísticas en gráficos y tablas, precios mundiales de cebada y malta, y otra información relevante. Haga clic aquí para obtener acceso completo a E-malt.com. Si usted es un cliente de Castle Malting, puede obtener acceso gratuito al sitio web y publicaciones de E-malt.com. Contáctenos para obtener más información en marketing@castlemalting.com.