Carlsberg Acquires UK Rights to Kronenbourg 1664 From Heineken

Carlsberg Acquires UK Rights to Kronenbourg 1664 From Heineken

Carlsberg Marston’s Brewing Company (CMBC) on Wednesday said that it has signed a deal for Carlsberg Group to acquire the UK rights for Kronenbourg from Heineken UK.

Kronenbourg 1664 is one of the biggest premium lagers in the on- and off-trade in the UK and is widely available in both retail channels. Famed for its ad campaigns featuring Eric Cantona over the last few years, Heineken UK has built the brand to become one of the most recognisable beers.

According to the deal, the licence of the well-known premium lager French beer brand will be transferred from 1 June 2023 and will see Carlsberg Group acquire all rights to produce and distribute Kronenbourg 1664 in the UK via CMBC.

Under the agreement, Heineken UK will continue to brew and pack Kronenbourg 1664 under contract, before moving to CMBC in 2024. A three-year commercial arrangement has also been agreed to continue to list and provide the brand to Heineken UK’s Star Pubs & Bars.

Heineken UK has held the licence for Kronenbourg 1664 since 2008, following the acquisition of Scottish & Newcastle by Carlsberg and Heineken.

Paul Davies, CEO of CMBC, said that supporting brands and innovating in the premium category has been a key pillar of their strategy and adding Kronenbourg 1664 to the company’s enviable portfolio is an incredible opportunity to achieve this.

“Kronenbourg 1664 is an excellent beer with a distinctive provenance, that is growing in both volume and value with strong brand awareness amongst consumers. We look forward to sharing our exciting plans to relaunch the brand with our partners in the on- and off-trade and cementing Kronenbourg 1664 as a leader in the category,” Davies added.

Boudewijn Haarsma, managing director of Heineken UK, said that they were a strong custodian of Kronenbourg in the UK over the last 14 years, maintaining product quality and investing in its marketing and distribution as part of our portfolio.

“During this time, we have also been investing behind our premium brands, such as Birra Moretti, and taking ownership of super premium beers Beavertown and Brixton. We’ve also exciting plans in the UK for our Spanish lager Cruzcampo. With a great brand range to offer our customers, now is the right time for Kronenbourg 1664 to enter its next chapter and we’re pleased to have reached this agreement with Carlsberg,” Haarsma added.

Special Moment for Carlsberg

Andrew Khan, vice president, global premium and beyond beer at Carlsberg Group, said that it was a special moment for one of their iconic brands, 1664, for the Carlsberg Group and for CMBC. The team at CMBC shared the company’s great passion for 1664, and this agreement is an incredible opportunity to energise the brand, drive innovation and deliver growth within CMBC’s beer portfolio.

“As part of the Carlsberg Group globally, 1664 is enjoyed by customers all around the world and has seen strong and consistent performance in Europe and Asia, where we have been seeing strong double-digit growths in a number of key markets.  We have enormous confidence in CMBC’s ambitious vision for 1664 in the UK and are excited for consumers to enjoy exceptional experiences with the brand,” Khan added.

According to both companies, CMBC and Heineken UK will work closely to support a smooth transition for customers, ahead of CMBC taking over UK distribution.

Heneiken UK is the nation’s leading pub, cider and beer company and is the name behind a host of brilliant brands from Inch’s to Birra Moretti and many more.

Global Business Magazine

Global Business Magazine

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