Thai Beverage has bought a 75% stake in Myanmar Distillery Company (MDC), the maker of Grand Royal whisky, for $1 billion.
Texan private equity firm TPG sold its 50% stake to ThaiBev for a reported $494.4 million. The deal also includes MDC’s supply chain business.
MDC is Myanmar’s largest spirits company, and along with Grand Royal it also makes a range of other whiskies and gins at its sites in Mandalay and Yangon.
The move sees ThaiBev, which already controls 90% of the drinks market in Thailand, gain access to Myanmar’s growing spirits market. Its brands include Chang Beer and SangSom Rum.
In the first nine months of its fiscal year, until June 2017, ThaiBev’s sales dropped 6% year-on-year to $4.3 billion, as a result of slow economic growth and the observance of a national mourning period in Thailand.
TPG partner Ganen Sarvananthan said: “The investment from Thai Beverage, one of Asia’s leading spirits groups, is a testament to MDC’s extensive platform and strong management team. We wish them continued success as they secure further opportunities with their new partners.”
The deal follows on from ThaiBev’s 2013 acquisition of Singapore beverage producer Fraser & Neave for $11.2 billion.
A new wave of brands is emerging that promotes indulgence and rejects the notion of sacrifice. Low-maintenance “hangover” beauty products are designed to address the effects of late nights and partying without judgment or hassle, and even include cosmetics that are formulated in a way that means you can fall asleep in your makeup without feeling guilty.
The pilot will allow the company to scale circular packaging in about 18 markets over the next three years, an approach that jumps on the success of similar efforts in the company’s Indonesia ecoSPIRITS program, which launched in 2022 and is active in 38 bars.
Unilever’s focus on purpose across its brands has been a source of criticism from some of its investors. Its new CEO Hein Schumacher says the company now recognises there are some brands where the concept is simply not relevant.