FDBusiness.com

The joint venture between Carlsberg UK and Marston’s to form the Carlsberg Marston’s Brewing Company has been approved by the Competition and Markets Authority. A number of internal and legal processes remain outstanding before the transaction is completed, which is expected to be around end of October.

Carlsberg and Marston’s will inject their UK brewing and distribution assets into the new joint venture. In addition, at completion Carlsberg will pay up to £273 million to Marston’s, £34 million of which will be a deferred contingent payment. Consequently, Carlsberg will become the controlling shareholder, owning 60% of the joint venture, with Marston’s owning 40%.

The Carlsberg Marston’s Brewing Company will have a strong portfolio of international, national and regional beer brands. Carlsberg’s brands include Carlsberg Danish Pilsner, Carlsberg Export, Poretti, Tetley’s, Somersby cider and the London Fields Brewery craft portfolio, as well as the UK licence for San Miguel, Mahou and the Brooklyn Brewery craft beer portfolio. The Marston’s portfolio includes Hobgoblin, Wainwright, Marston’s Pedigree and 61 Deep, and the company also owns the Banks’s, Jennings, Ringwood and Eagle beer brands. It also has the UK licence for global brands Estrella Damm, Shipyard, Erdinger, Warsteiner and Kirin.

Carlsberg Marston’s Brewing Company will have assets including Carlsberg UK’s Northampton brewery, London Fields brewery, and national distribution centre; and Marston’s six national and regional breweries – Marston’s, Banks’s, Wychwood, Jennings, Ringwood and Eagle – and 11 distribution depots.

The joint venture will have access to the Marston’s pub estate for its beer portfolio through a long-term strategic partnership. The joint venture will also benefit from Marston’s Beer Company’s wide distribution network.