Heineken and Efes announced to unwind their partnerships in Kazakhstan and Serbia. Heineken will sell its 28% stake in Efes Kazachstan back to Efes and Heineken will acquire Efes’ 28% minority stake in Central Europe Beverages, which is active in Serbia. Note that Heineken will continue to export the Heineken brand to Kazachstan.
Heineken did not disclose the separate valuations of both transactions but the net effect will be a net cash payment of $ 161m from Efes to Heineken. The transactions are expected to close by May 2013 at the latest and will result in an (undisclosed) book gain for gain for Heineken.
Heineken commented that the unwinding of the partnerships is the result of a strategic review.
We welcome the reduction of complexity which should be the result of the unwinding of the partnerships with Efes. All in all, the impact on the investment case is minimal. We stick to our BUY rating and € 57 target price.