ThaiBev, F&N mulling acquisition of leading Vietnamese brewery Sabeco

Who’s the worthier candidate?

ThaiBev is reported to be wooing large Vietnam-based brewery Saigon Beer Alcohol Beverage (SABECO), but its Fraser and Neave might beat it to the jackpot.

According to DBS, ThaiBev and F&N are eyeing the Vietnam Ministry of Industry and Trade’s stake in SABECO, which has a 46% market share in Vietnam.

Other international brewery groups such as Heineken, Asahi and SABMiller are also interested in the stake.

DBS noted that F&N is a more likely contender instead of ThaiBev. F&N will be gushing with cash once its stake in Myanmar Brewery is sold, which is estimated to be valued at $1.2bn.

“Reports have listed ThaiBev as a contender for SABECO; we think FNN is more likely. If this is indeed true, we are not surprised by the interest, given SABECO’s leading market share in Vietnam with notable brands. However, we believe FNN could likely be the contender, given the current situation,” stated DBS.