| NEW YORK, Sept 6
NEW YORK, Sept 6 North American Breweries, which
sells Genesee and Labatt beer in the United States, has been put
up for sale by its owner, private equity firm KPS Capital
Partners, according to sources familiar with the matter.
The sources did not want to be named because the process is
The beer company could be worth around $400 million, one of
the sources said. KPS has hired investment bank UBS to advise on
the sale, according to that source.
NAB's other brands include Honey Brown Lager, Magic Hat and
KPS formed the company in February 2009 when it bought the
Labatt brands in the U.S. for an undisclosed price from
The brewing giant needed to sell the business in order to
receive Justice Department clearance for InBev's $52 billion
takeover of U.S. rival Anheuser-Busch. AB Inbev still sells
Labatt beer outside of the U.S.
North American Breweries bought the privately held brewer of
Genesee and Dundee brands in February 2009. It acquired
Independent Brewers United Inc, which owned Magic Hat and
Pyramid, in 2010.
The global brewing industry has been rife with deals as the
industry leaders, such as AB InBev, SABMiller PLC and
Heineken, seek to boost their exposure in emerging
markets and take on smaller brands.
For example Heineken, which in June struck a deal to buy a
Belgium-based cider maker, is now locked in a seven-week bidding
war with Thai Beverage over Tiger Beer maker Asia
AB InBev in June struck a $20.1 billion deal to take over
Mexico's Grupo Modelo, and its Brazilian unit,
AmBev, agreed in April to buy a controlling stake in
the Dominican Republic's Cerveceria Nacional Dominicana (CND).
Craft, or small batch, beers, such as Magic Hat, have also
been a bright spot in a U.S. beer market that has been in
decline for three years as many drinkers have switched to wine
KPS declined to comment. UBS did not respond to a request
for a comment.