Japanese brewer Asahi Group Holdings is buying all the shares in New Zealand's Independent Liquor Group for $1.525 billion.
Independent Liquor was sold to private equity investors in 2006 after founder Michael Erceg died in a helicopter crash in November 2005. The consortium, led by Pacific Equity Partners, beat off brewers such as Lion Nathan and DB Group owner, Asia Pacific Breweries at the time.
Japanese beverage companies are expanding abroad because their domestic market is declining and the high yen has made offshore assets cheaper.
Lion Nathan, once controlled by Sir Douglas Myers, is now wholly owned by Japan's Kirin Holdings and its New Zealand business is branded as Lion.
In its statement today, Asahi said Independent was the leading alcoholic ready to drink (ARTD) company in New Zealand and ranked third in Australia.
The purchase of Independent Liquor would give Asahi a strong position in the alcoholic beverage markets in this country and Australia.
Asahi had existing soft drink operations in Australia through Schweppes Australia bought in 2009, and was in the process of buying the water and juice business of P&N Beverages Australia as well as Charlie's.
The Independent deal is conditional on consent from foreign investment review bodies in this country and Australia.
