C&C agrees manufacturing and distribution deal with AB InBev
Bulmers-owner C&C has agreed an expanded manufacturing and distribution deal with AB InBev that will make the Belgian-headquartered firm responsible for the sale and trade of C&C's cider portfolio in England, Wales, the Channel Islands, and the Isle of Man.
The company's existing distribution agreement with Ab InBev remains in place, meaning the cider-maker will continue to distribute AB's beer portfolio, which includes the likes of Becks, Stella, and Budweiser, in Ireland.
No payment will be made in either direction as a result of the multi-year deal , which will come into effect over the coming months. C&C said it will be earnings neutral in the first full year of operation and accretive thereafter driven by increased volumes and value.
C&C chief executive Stephen Glancey said he was delighted with the expansion of the deal.
"The agreements leverage the manufacturing, distribution and portfolio strengths of our two businesses in our core markets in the UK and Ireland. AB InBev will represent Magners and our other cider brands in England, Wales, the Channel Islands and the Isle of Man and to UK national accounts alongside their portfolio of leading global beer brands," he said.