Print Page | Close Window

SABMiller PLC - BEE Transaction

RNS Number:5084B
SABMiller PLC
13 April 2006


Ref 16/2006


       SABMiller announces further Black Economic Empowerment transaction


London and Johannesburg, 13 April 2006. The South African Breweries Limited
(SAB), a wholly owned subsidiary of SABMiller plc, today announced that it has
finalised, subject to the fulfilment of certain conditions, the sale of 40% of
its crown (bottle top) manufacturer, Coleus Packaging (Pty) Limited (Coleus), to
the Nokusa Consortium, led by Nokusa Investments (Pty) Limited, in a Black
Economic Empowerment (BEE) transaction.  Nokusa will be involved at a strategic
level as well as an operational level and will have the right to appoint two
directors to the five member board.  The value of the gross assets disposed of
by SAB  is approximately R30 million (US$4.9 million).


Coleus, which is South Africa's biggest producer of metal bottle closures,
produces around 4.9 billion crowns per annum for the brewing and bottling
industries in Southern Africa, and had a turnover of approximately R132 million
(US$21.5 million), for the year to 31 March 2005.  SAB acquired Coleus in 2003,
in a transaction whereby SAB committed itself to both significantly improving
Coleus' manufacturing plant and to a 40% BEE transaction, within a specified
timeframe.


Since 2003, SAB has invested R16 million (US$2.6 million) in improving the
performance of the Coleus business, including significant investment in new
equipment and training to develop local skills. Under SAB's ownership, factory
efficiencies have risen from 50% to a current average of 76%, with a record high
of 80% in March this year. As part of the BEE transaction, SAB has committed to
purchasing its crown supply from Coleus, cementing a positive future for the
business.


Tony van Kralingen, Managing Director of SAB commented:

'We are delighted to announce another BEE transaction with an experienced
consortium. Nokusa members are highly skilled professionals who have a diverse
range of skills and expertise in the FMCG, packaging and manufacturing
industries, as well as experience in operating in the rest of Africa. They will
be an excellent partner for the business and we look forward to working with
them.'


Moss Hadebe, Chairman of the consortium added:

'Nokusa demonstrated that it offered the most attractive overall package and
provided the best fit with Coleus.  We welcome our partnership with SAB and
believe that our input into operations and strategy formulation will benefit all
parties. This direct strategic and operational involvement sets a welcome trend
in BEE transactions.'


Ends


Notes to editors:


SABMiller

SABMiller plc is one of the world's largest brewers with brewing interests or
distribution agreements in over 60 countries across five continents. The group's
brands include premium international beers such as Miller Genuine Draft, Peroni
Nastro Azzurro and Pilsner Urquell, as well as an exceptional range of market
leading local brands.  Outside the USA, SABMiller plc is also one of the largest
bottlers of Coca-Cola products in the world.


In the year ended 31 March 2005, the group reported US$2,194 million pre-tax
profit and a turnover of US$14,543 million on a UK GAAP basis.  SABMiller plc is
listed on the London and Johannesburg stock exchanges.


Nokusa

Nokusa Investments (Pty) Ltd is an investment company led by six black
entrepreneurs with extensive experience in managing large-scale businesses. The
consortium also includes groups of historically disadvantaged South Africans
including Shandura, which has 13 professional women beneficiaries, Izindophi
Community Project, a rural women's grouping from Kwazulu-Natal with 11
beneficiaries and the Kapano Disabled Movement with 29 members.


This announcement is available on www.sabmiller.com


High resolution images are available for the media to view and download free of
charge from: www.vismedia.co.uk


Enquiries:

                                SABMiller plc                            Tel: +44 20 7659 0100

Sue Clark                       Director of Corporate Affairs            Tel: +44 20 7659 0184

Gary Leibowitz                  Senior Vice President, Investor          Tel: +44 20 7659 0174
                                Relations

Nigel Fairbrass                 Head of Media Relations                  Tel: +44 20 7659 0105


This announcement does not constitute an offer to sell or issue or the
solicitation of an offer to buy or acquire securities of SABMiller plc (the
'Company') or any of its affiliates in any jurisdiction or an inducement to
enter into investment activity.

This document includes 'forward-looking statements'.  These statements may
contain the words 'anticipate', 'believe', 'intend', 'estimate', 'expect' and
words of similar meaning.  All statements other than statements of historical
facts included in this announcement, including, without limitation, those
regarding the Company's financial position, business strategy, plans and
objectives of management for future operations (including development plans and
objectives relating to the Company's products and services) are forward-looking
statements.  These forward-looking statements involve known and unknown risks,
uncertainties and other important factors that could cause the actual results,
performance or achievements of the Company to be materially different from
future results, performance or achievements expressed or implied by such
forward-looking statements.  These forward-looking statements are based on
numerous assumptions regarding the Company's present and future business
strategies and the environment in which the Company will operate in the future.
These forward-looking statements speak only as at the date of this announcement.
  The Company expressly disclaims any obligation or undertaking to disseminate
any updates or revisions to any forward-looking statements contained in this
announcement to reflect any change in the Company's expectations with regard
thereto or any change in events, conditions or circumstances on which any such
statement is based.

Any information contained in this announcement on the price at which the
Company's securities have been bought or sold in the past, or on the yield on
such securities, should not be relied upon as a guide to future performance.


                      This information is provided by RNS
            The company news service from the London Stock Exchange
END

MSCGUUWCCUPQGGW
Investis

Share price data provided by vwd group & financial data provided by Morningstar.