Heineken has entered the Peruvian beer market with the acquisition of local beer brand Tres Cruces for an undisclosed sum.
The deal will also include the incorporation of Tres Cruces’ local operating team in Lima – Peru’s capital – into Heineken’s overall operations.
The acquisition is in line with Heineken’s aim to build a diverse portfolio in Peru that will consist of local beer brands, coupled with its range of international brands. In addition, the Dutch brewer has signed a new local distribution agreement with beverage company AJE Group.
As part of the agreement, AJE will serve as Heineken’s local sales and distribution partner in Peru. The new partnership will also support Heineken’s strategy in the country, as it claims AJE offers a strong route-to-market and distribution network across Peru.
According to Heineken, Peru is one of the largest beer markets in South America and one that Heineken did not yet have operations in. The owner of beer brands such as Amstel and Sol claims the country reports around 14 million hectolitres of beer sales per year of which about 40% are sold in Lima alone.
Meanwhile, it claims that the premium beer segment is significantly underdeveloped, representing less than 4% of Peru’s total market. President of the board of AJE, Ángel Añaños, says the partnership will bring more choices into the Peruvian beer market.
He added: “We believe AJE’s local knowledge and strong access to the market in combination with Heineken’s leading brand portfolio and commercial capabilities will benefit customers and consumers in the country.”
Marc Busain, president of Americas at Heineken, said: “Peru has favourable demographics and is a promising beer market. Our partnership with AJE will be instrumental to grow our business in the country. We are pleased that our investment will significantly expand the beer category in Peru.”
Earlier this year, Heineken saw its operating profit decline organically by 52.5% in its half-year results, but said its beer volumes had started to gradually recovery as lockdowns were lifted.