SABMiller’s and Heineken’s interest
FEMSA’s beer business spread.
a leading Latin American beverage
group and Coca-Cola’s second bottling
company in the world, also holds a portfolio of 35 beer brands that are
produced in 14 plants distributed in Mexico and Brazil.
With over 110 years in operation, the brewery Cervecería Cuauhtemoc
Moctezuma, owned by the FEMSA Group, is the second
brewery in Mexico, after the Modelo Group (producer of
Corona beer), which was founded in 1925 and is the top brewer and
beer distributor and seller in the country.
In 2006, FEMSA bought the Brazil’s Kaiser.
Sales of Sol, its flagship product in Brazil, never
took off, remaining under one percent of the sector’s market.
August, combined sales for
FEMSA’s three leading beer brands in
- had the lowest share of the
market since the group began operating in Brazil. From January to
August 2009, their share dropped from 8.2 percent to 6.9 percent,
compared to Schincariol’s 12.1 percent and AmBev’s
One of the companies now showing an interest in FEMSA’s beer
business is SABMiller, the world’s second transnational
corporation in the brewery sector. According to Wall Street
analysts, the acquisition is valued at 9 billion dollars. The purchase
would enable SABMiller to gain a strong foothold in the
Mexican market, effectively competing with InBev, which
already controls 50 percent of the Modelo Group.
As they up
their share of the global market, transnational corporations
heighten their arrogance and antiunion practices, behaviors
particular, seems to have mastered.
The other transnational corporation with an interest in purchasing
FEMSA’s beer business is the Dutch company Heineken, which
already distributes the group’s Tecate and Dos Equis
brands in the United States (with a contract that expires in
2017), and together with FEMSA is one of the two Kaiser
holding 83 percent, and Heineken the remaining 17 percent.
bubbles, as employment goes flat
handful of transnational corporations dominate beer production
produce and sell
six out of ten beers in the world.
2000 to January 2008, when
combined acquisitions of the brewery giants totaled 52.7 billion
dollars. Large sum? Very large. That sum is enough to purchase
facilities to supply potable water and sanitation at low costs for 1.2
billion people, among other things.
each acquisition and after every merger thousands of workers are left
without a job. Similarly, as they up their share of the global market,
transnational corporations heighten their arrogance and antiunion
practices, behaviors that
in particular, seems to have mastered.