SABMiller Chinese JV partner strengthens footprint in Henan with third acquisition

SABMiller JV partner in China Resources Snow Breweries (CRB), China Resources Snow, has bought Shangqiu Lanpai Brewery (Lanpai). This acquisition is third in a row made by the Chinese brewer to bolster its presence in Henan province.

Earlier, China Resources Snow made two other acquisitions: Zhumadian Yuequan Brewery in April 2010, and Aoke Beer's three factories in Zhengzhou, Luohe and Anyang in January.

The brewery will work together with the four production bases in Zhengzhou, Luohe, Anyang and Zhumadian.

Located in Shangqi, Lanpai has a production capacity of about 15 million liters. This company's signature beer, Let's, boasts around 60% market share in Shangqiu and the surrounding areas.

Upon completion of the acquisition, CRB will make further investment on technology upgrades and modifications in the Lanpai facility,

CRB will also immediately start building a new plant, which will have capacity of 20 million liters, rising its production capacity in Henan.

CRB managing director Wang Qun said consecutive acquisitions in Henan Province will further promote the company's dominant position in the central China market.