AB InBev’s new $250m brewery in Sagamu to start production by mid 2018

Mar 8, 2018

AB InBev, Africa
Anheuser-Busch InBev (AB InBev) has announced that its new $250m brewery being built in Sagamu, Nigeria, will begin production by the middle of 2018. It will be the company’s largest brewery in Africa outside South Africa.

Sagamu is located in Ogun State, in south-western Nigeria. It is 67km north east of Lagos. AB InBev has declined to provide details of the brewery’s production capacity but has said it will be the company’s largest brewery in Africa outside South Africa.

The company’s largest brewery in Nigeria currently is its Onitsha facility, operated by subsidiary Intafact Beverages Limited (previously owned by SABMiller). SABMiller was acquired by Anheuser-Busch InBev in 2016.

In 2012, SABMiller made an initial investment of more than $100m in the Onitsha brewery and in 2014 it invested a further $110m to increase annual capacity from 700,000 to 2.7m hectolitres. The Onitsha brewery’s brands include Hero Lager, Castle Milk Stout, Grand Malt (non-alcoholic), Beta Malt (non-alcoholic). It primarily serves the south eastern markets of Nigeria.

The Sagamu brewery means that AB InBev has five sites in Nigeria, the remaining three of which it acquired as a result of SABMiller’s market entrance in 2008 in a strategic alliance with the French Groupe Castel, which bought majority stake in International Breweries Plc. AB InBev also owns International Breweries in Ilesha, Pabod Breweries in Port Harcourt and Standard Breweries in Ibadan.

 

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