SABMiller Announces Construction of $34m Brewery in Namibia
SABMiller Namibia (Pty) Limited will be 60% owned by SABMiller, with the remaining 40% owned by local Namibian partners in a broad-based black economic empowerment (BEE) initiative.
26 Apr 2010 --- SABMiller announces that its Namibian subsidiary, SABMiller Namibia (Pty) Limited, is to build a US $34 million brewery on 7.2 hectares of land outside Okahandja city, 70km north of Windhoek.
Construction on the 220,000 hectolitre capacity brewery is expected to start in the second half of 2010 and will also include a returnable bottle packaging line and warehousing facilities. The brewery will produce the Castle and Castle Lite brands.
SABMiller Namibia (Pty) Limited will be 60% owned by SABMiller, with the remaining 40% owned by local Namibian partners in a broad-based black economic empowerment (BEE) initiative. The BEE component comprises 20% ownership by Onyewu Investments (Pty) Limited and 20% by three charitable trusts working on behalf of the communities in the Omaheke, Karas and Northern regions of Namibia.
Cobus Bruwer, SABMiller's country representative, said: "We have been importing beer into Namibia for over 20 years and such a significant investment symbolises our current optimism in the country. We will continue to work with our local partners to provide consumers with top quality products, further expand our portfolio and contribute meaningfully to the Namibian economy and communities."
SABMiller currently has an estimated 22% local market share through brands such as Castle Lager, Carling Black Label, Peroni Nastro Azzurro and Castle Lite.
A Share Subscription Agreement governing the subscription for shares in SABMiller Namibia and a Shareholders' Agreement governing the affairs of the shareholders in SABMiller Namibia were signed in Windhoek today. These agreements are subject to conditions precedent customary for agreements of this nature.
