Following months of speculation, drinks giant AB InBev has finally sold its Tennents lager brand to Magners cider maker C&C Group for £180m.
According to a statement issued by ABInBev, included in the sale are the Glasgow Wellpark brewery, where Tennent's is brewed, rights to the Tennent's lager brand itself, Tennent's Ales and assets located in Scotland, Northern Ireland and the Republic of Ireland which currently belong to AB InBev.
"The remainder of Anheuser-Busch InBev's UK business located in England and Wales is not part of this transaction and will remain part of InBev UK Limited," it added.
As part of the agreement, ABInBev is to appoint C&C as distributor of certain unspecified AB InBev brands in Scotland, Northern Ireland and the Republic of Ireland, while C&C is to grant ABInBev the right to use the Tennent's Super and Tennent's Pilsner brands "in certain worldwide geographies".
Carlos Brito, AB InBev's chief executive, said: "The sale of these assets will unlock value for our shareholders and ensure continued support for our global brands in the region through distribution agreements with key partners. C&C is a strong strategic buyer who is well-positioned to invest in and advance these assets."
C&C said in a statement that it expects the acquisition to be earnings enhancing immediately, and would help create a route to market for Magners cider in both Northern Ireland and Scotland.
The cider producer also revealed that cider volumes in the UK had increased by one per cent in the last five months, while overall cider revenues for the period had fallen four per cent.