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Brazilian brewing group Petropolis prefers going national rather than being sold

The last major brewer in Brazil with mainly brazilian investors, comments on rumors to become the next target of international brewing group eyeing the growing brazilian beer market. The group produces brands like “Crystal”, “Itaipava”, “Local” mainly in the federal states of Sao Paulo and Rio de Janeiro and the sales reach out to the south east and midwest of the country. According to the director of marketing and market relations of Petropolis, Douglas Costa, the company has no interest in being the next takeover target.” „The group’s president, Walter Faria, not thinking of selling or merging now,” says Costa. He explains the strategic goal to be a national supplier of beer, to be reached by 2018. “The goal is to become national.“
“We are starting the distribution of our brands in Manaus this month,” said the executive, which is already present in the North in Acre and Rondonia. In the Northeast, a region that is among the priorities of AmBev and Schincariol, Petropolis keeps a distributor in Bahia, but with lackluster volume. “Certainly, our next factory will open in the Northeast,” said Costa, without setting dates.
According to the executive, it would be necessary to add at least another five to the current four factories for the company to reach a national presence. Today the group works with 130 distributors in the country, reaching about 400 000 outlets, which secure a market share of 10.1% of the Brazilian beer market.
Petropolis ranks third among the brazilian beer producers, following absolute leader Ambev (ABInbev) and Schincariol (currently being taken over by Kirin). Petropolis remains ahead of Heineken Brazil, who owns the Kaiser brand.
Since the consumption in the United States and Europe is declining or stagnant, it is expected that Petr?polis call even more attention going forward.
12 Oct. 2011

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