UPDATE 1-Chilean brewer CCU sets up joint venture in Colombia
(Adds CCU's comments, background details)
SANTIAGO Nov 10 (Reuters) - Chilean brewer and bottler CCU said on Monday it entered into a joint-venture agreement with unlisted company Postobon, Colombia's biggest non-alcoholic distributor.
The companies will invest $400 million in equal shares over the next three to four years, part of which will be used to build a beer and malt facility with an initial capacity of 3 million hectoliter per year, according to the terms of the agreement.
"We're very satisfied in having found in Postobon, a robust business partner that has a deep knowledge of the local market, a long trajectory in brand creation, and a wide distribution network in Colombia," said CCU Chief Executive Officer Patricio Jottar Nasrallah.
The 160-year old CCU (Compania Cervecerias Unidas SA), which is controlled by Dutch brewer Heineken NV and Chile's Luksic family via holding company Quinenco SA, has operations in Chile, Argentina, Paraguay, Uruguay and Bolivia.
Taking advantage of Postobon's 490,000 client-base in Colombia, the new venture will import and distribute Heineken during its first phase of operations, CCU said. (Reporting by Anthony Esposito; Editing by Chris Reese and Andre Grenon)
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