Carlsberg Breweries in Sweden and Norway
The Swedish competition authorities have conditionally approved that Carlsberg A/S and Orkla ASA merge their Swedish breweries Falcon and Pripps into Carlsberg Sverige AB. This is a step in establishing the new international brewer, Carlsberg Breweries, which will be jointly owned 60% by Carlsberg A/S and 40% by Orkla.
The endorsement is contingent upon the sale of the following brands: Three Towns (TT), Fat, Arboga, Eagle, Bayerbrau, Starkbock and Sailor. Furthermore it is presumed that Falcon and Pripps terminate their distribution rights for Lapin Kulta, Warsteiner, Caffreys, Bass and Staropramen. Carlsberg A/S has to sell their indirect ownership stake in Coca-Cola Drycker Sverige AB and Falcon has to end their present joint distribution with Coca-Cola Drycker Sverige AB.
In 1999 the brands to be sold represented a volume of approximately 55 million litres. The sale will reduce the market share of Carlsberg Sverige AB by approx. 11 percentage points in 1999-figures to a level of approx. 45% (excl. private imports).
The parties accept the decision of the Swedish competition authorities and the commercial conditions and deadlines that are given.
The Norwegian competition authorities have approved the establishment of Carlsberg Breweries on the condition that Carlsberg A/S sell their indirect ownership stake in Coca-Cola Drikker, the Norwegian branch of the Nordic company Coca-Cola Nordic Beverages which is owned 51% by Carlsberg A/S and 49% by The Coca-Cola Company.
The Finnish competition authorities, which also are processing the deal, will come to a conclusion in the beginning of January 2001.
Orkla will not as earlier mentioned incorporate Carlsberg Brewery as a jointly controlled company (40%) in the consolidated accounts for 2000.