Just over a month after the South African Competition Court approved Heineken's bid to acquire control of Distell Group Holdings Limited (inside.beer, 9.3.2023), the Dutch brewing group announced an investment program to be implemented over the next five years.
This includes a ZAR 3.8 billion (USD 165m) investment in the construction of a new greenfield brewery and ZAR 1.7 billion (USD 93.5m) in a new malt house. Details about the new brewery and malting plant were not disclosed, only that the latter project will be carried out in cooperation with a well-known international malting group.
Another ZAR 10 billion (USD 550.5m) will be used for capital expenditure projects to expand and maintain existing operations in South Africa.
The announcement was made at this year’s South Africa Investment Conferenceon 13 April 2023 in Johannesburg. Heineken South Africa managing director, Jordi Borrut, said: “This investment underscores our continued belief in the development and sustainability of South Africa.”
The company also shared an update on its plans to build a 6.5 MW solar power plant at its Sedibeng brewery, announced at the 2019 conference. According to Heineken, the system is the largest free-standing solar system powering a brewery in South Africa.