Fitch: Anadolu Efes on watch

Fitch Ratings said it put the local currency rating of Anadolu Efes at BBB- on Rating Watch Negative.

The agency noted Efes Breweries International (EBI), the 70% subsidiary of Anadolu Efes, has announced that EBI signed an agreement to acquire 92% of Krasny Vostok Brewing Group (KV).

The acquisition of KV will reinforce EBI's position in the high growth Russian beer market, Fitch said.

"All major European brewers have entered Russia to mitigate their operations in mature markets in Western Europe," said Frederic Gits, senior Director in Fitch's Corporates Group in Paris.

"Given the high growth in the Russian beer market, it is necessary to invest significantly to keep pace with the volume increases and avoid being sidelined by the competition."

© 2015 Prospect News.
All content on this website is protected by copyright law in the U.S. and elsewhere. For the use of the person downloading only.
Redistribution and copying are prohibited by law without written permission in advance from Prospect News.
Redistribution or copying includes e-mailing, printing multiple copies or any other form of reproduction.