HEINEKEN N V S/ADR - HEINY STOCK NEWS

HEINEKEN has increased its stake in United Breweries Limited (UBL) from 46.5% to 61.5% after UBL's AGM on July 29, 2021, establishing control over the company. UBL, recognized for its Kingfisher brand, is poised to be a top operating company within HEINEKEN, tapping into India's growth potential where per capita beer consumption is low at 2 liters annually. Despite this strategic move, HEINEKEN anticipates a small positive impact on its EPS but a diluted effect on operating profit margin.

Heineken N.V. (HEINY) has successfully acquired an additional 39,644,346 ordinary shares in United Breweries Limited (UBL), increasing its ownership from 46.5% to 61.5%. This strategic move enhances Heineken's control over UBL, reflecting its commitment to expanding its market presence. The acquisition underlines Heineken's long-term strategy to bolster its portfolio and increase revenue streams through UBL's established distribution network and brand value.

Heineken N.V. confirmed ongoing discussions with Distell Group Holdings Limited regarding a potential transaction. While negotiations are active, there is no certainty that a definitive agreement will be reached. Further updates will be provided as appropriate. Heineken, a leader in the global beverage market, operates in over 70 countries and has a diverse portfolio of over 300 beer and cider brands.

Heineken N.V. (HEINY) held its Annual General Meeting on April 22, 2021, where all agenda proposals were approved. Key highlights include the appointment of Harold van den Broek as CFO, effective June 1, 2021, and the approval of a €0.70 dividend per share, payable on May 6, 2021. The meeting also saw the re-appointment of Maarten Das to the Supervisory Board and the appointment of Nitin Paranjpe. Deloitte Accountants B.V. was re-appointed as the external auditor for 2022. Christophe Navarre ended his 12-year tenure on the Supervisory Board.

HEINEKEN announced new sustainability commitments under its 2030 Brew a Better World program, aiming for significant environmental and social impact. Expectations include achieving carbon neutrality in production by 2030 and for the full value chain by 2040. The company will eliminate waste to landfills globally by 2025 and enhance water management in stressed areas by 2030. Additionally, HEINEKEN targets 30% female leaders in management by 2025 and plans a full rollout of equal pay initiatives by 2023. Responsible consumption campaigns will reach 1 billion consumers annually.

Heineken N.V. reported stable beer volume in Q1 2021, with a 12.1% increase in Heineken® brand sales. Despite challenges from COVID-19 restrictions, growth was strong in Africa, Middle East & Eastern Europe, and Asia Pacific. The Americas showed modest gains, while Europe saw a decline of 9.7% due to on-trade closures. Net profit rose to €168 million, up from €94 million last year, but remains below €299 million in 2019. The company aims for carbon neutrality by 2040 through its EverGreen growth strategy, despite a projected negative currency impact of €570 million in net revenue.

HEINEKEN announced its commitment to decarbonize production by 2030 and its full value chain by 2040. This initiative is part of the renewed Brew a Better World ambitions and aligns with the Paris Agreement's 1.5°C goal. Key targets include achieving carbon neutrality at all production sites by 2030 and reducing emissions by 30% across the value chain. HEINEKEN has already lowered carbon emissions per hectoliter by 51% since 2008 and successfully implemented over 130 renewable energy projects, including major solar-powered breweries.

HEINEKEN announces the resignation of Chief Financial Officer Laurence Debroux, effective after the Annual General Meeting of Shareholders on April 22, 2021. The Supervisory Board intends to appoint Harold van den Broek, currently President Hygiene at Reckitt Benckiser, as the new CFO. Van den Broek has extensive experience in finance and business transformation within the consumer goods sector. Debroux leaves HEINEKEN in a robust financial position, having successfully guided the company through the COVID-19 crisis and contributed to its strategic direction under the EverGreen initiative.

Heineken N.V. ('HEINEKEN') has announced a new distribution partnership agreement with The Coca-Cola Company for the Brazilian market, effective mid-2021. This collaboration will transition the Heineken® and Amstel brands to HEINEKEN Brazil's distribution network while Coca-Cola will continue distributing its brands. The agreement enhances both companies' flexibility in product offerings, including potential new alcoholic beverages. The partnership has an initial term until December 31, 2026, with automatic renewal, and resolves existing litigation between the parties.