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Another Danish investment in the Czech Republic

The Danish brewery giant, Carlsberg Group, has bought a majority share of Žatec brewery. The price for the 51% of the share wasn´t made public in Denmark. Before, Žatec brewery was owned by the Cypriote group Kordoni Holdings Limited. In the Czech Republic the Carlsberg Group closely cooperate with Budweiser Budvar, N.C. which has been sole importer of Carlsberg products since 2007.

It´s one of the biggest investments made by the Danish company on the Czech market over the last years. After this acquisition the Carlsberg Group will be able to introduce the Žatec brand at chosen foreign markets. The company mainly plans to sell Žatec beer in Russia.

According the information of the Czech Embassy in Copenhagen, the Carlsberg Group bought Žatec brand for broadening its portfolio of special beers for which there is a high demand worldwide (Remark: Žatec brews more than ten kinds of beer including lager suitable for consumers suffering from celiac disease. This beer of the Celia brand received the first prize in the competition Free From Food Awards 2013 in London, in the category of gluten-free beer.).

Žatec brewery produces ca 200 thousand hectolitres of beer annually. For comparison, in 2013 the whole Carlsberg Group sold in total 120 million hectolitres of beer. The Danish Carlsberg Group is the fourth biggest beer producer in the world (1st Anheuser Buch InBev, 2nd SAB Miller and 3rd Heineken). The most well-known brands of the Carlsberg Group is Tuborg, San Miguel and Kronenbourg.

Connecting Žatec brewery with the Carlsberg Group for the Czech producer means opening a way to all the foreign markets on which this group already operates. An important part of the agreement about the Danish acquisition is also an obligation to reconstruct the existing brewery area.