Carlsberg Group has agreed to form a strategic joint venture with Sapporo Breweries, creating a broader platform for premium beer production and distribution across Southeast Asia and Hong Kong. The agreement also extends the companies’ relationship into the UK and Myanmar through long-term licensing arrangements.
The proposed venture builds on a commercial collaboration established in 2024, under which Carlsberg has supported the sale of Sapporo Premium Beer in Malaysia, Singapore and Hong Kong. By moving from individual distribution agreements to a jointly owned regional structure, the companies are positioning the partnership for longer-term development across several established Carlsberg markets.
Carlsberg will contribute its existing businesses in Hong Kong, Singapore, Malaysia, Laos, Vietnam and Cambodia to the joint venture. The new entity will receive perpetual exclusive rights to produce, market, distribute and sell Sapporo Premium Beer in those markets.
Carlsberg will hold a 75% interest and retain operational control, while Sapporo will acquire the remaining 25% for a gross cash consideration of $643 million, subject to certain adjustments. The valuation represents a 2025 EBIT multiple of 21.3 times and an EBITDA multiple of 17 times, adjusted for proportional ownership in the relevant markets.
The structure allows Carlsberg to bring in a strategic partner while continuing to consolidate the venture’s financial results. It also provides additional capital that the group intends to use for debt repayment and general corporate purposes.
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