LONDON: C&C Group plc said Friday it has agreed to acquire all of Asahi UK’s wholesale interests for nominal consideration, in a deal that will fold Nectar Imports Ltd and Asahi UK’s direct distribution operations into the company’s Matthew Clark Bibendum division.

The transaction also includes a long-term business partnership tied to Asahi brands in the UK, C&C said. The company will assume all customer and supplier relationships and agreements, along with intellectual property, a leased depot, and certain assets including vehicles and stock.

The acquisition includes the full transfer of supply arrangements to the Fuller, Smith & Turner on-trade estate.

Completion is expected in early October, followed by a structured program to migrate customers to MCB’s operational, commercial and supply chain infrastructure.

Roger White, chief executive officer of C&C Group, called the move “an attractive opportunity to provide a significant number of new customers with MCB market leading service and range proposition whilst simultaneously delivering immediate scale and efficiency into the Group’s operations, in line with our strategy.”

White said the company expects most customer and supplier transitions to be completed in the coming weeks and for the acquisition to make a small positive contribution to MCB’s overall financial performance in fiscal 2027.

Trading Update

C&C also reported that trading in the six months to Aug. 31 was in line with expectations. Net revenues were 3% below the prior year, as 2% growth in branded revenues was offset by a 4% decline in distribution revenues.

The company said branded revenue growth was supported by momentum in its core Tennent’s and Bulmers brands, favorable weather and targeted marketing around the World Cup period. Its premium portfolio also grew, with a particularly strong contribution from the Innis & Gunn brand, now under full company ownership.

The distribution revenue decline was driven mainly by the planned exit of some lower-margin customer business, along with continued market decline in outlet numbers and certain drinks categories.

Underlying operating profit for the first half is expected to be in the range of 43 million to 44 million euros ($50 million to $51 million), in line with expectations. C&C said it remains on track to achieve full-year operating profit in line with market expectations, though it noted market conditions remain volatile and the important Christmas trading period lies ahead.

The company said it will share more about its strategy at a Capital Markets Day on Sept. 24, with interim results due Oct. 28.

About C&C Group

C&C Group plc is a vertically integrated premium drinks company that manufactures, markets and distributes branded beer, cider, wine, spirits and soft drinks across the UK and Ireland.

Its portfolio of owned and exclusive brands includes Bulmers, the leading Irish cider brand, and Tennent’s, the leading Scottish beer brand, as well as premium and craft ciders and beers such as Heverlee, Menabrea, Five Lamps, Innis & Gunn and Orchard Pig. C&C exports its Magners and Tennent’s brands to more than 40 countries.

The company has owned brand and contract manufacturing and packing operations in County Tipperary, Ireland, and Glasgow, Scotland. It is the top drinks distributor to the UK and Ireland hospitality sectors, operating through Matthew Clark Bibendum, Tennent’s and Bulmers Ireland.

C&C Group plc is incorporated in Ireland, headquartered in Dublin and listed on the London Stock Exchange.