Date:19/01/2008 URL: http://www.thehindubusinessline.com/2008/01/19/stories/2008011951440500.htm

Back Cobra Beer acquires strong beer brand Iceberg

Our Bureau

Mumbai, Jan. 18 Cobra Beer has picked up a 76 per cent stake in the Bihar-based brewery — Iceberg Industries Ltd — and also acquired the strong beer brand of Iceberg.

The remaining 24 per cent stake would be retained by Mr Amit Katyal, the owner of Ice Berg Industries. Besides, Cobra would also be setting up three greenfield breweries in States such as Punjab and Andhra Pradesh.

At a press briefing, Mr Karan Bilimoria, Founder & Chairman, Cobra Beer, said: “We have earmarked a total investment of $50 million for the next two years. This includes our current stake acquisition as well as expansion of new breweries.”

With Iceberg being added as the third brand in its portfolio (after King Cobra and Cobra beer), the liquor company expects to make the brand national. Currently, Iceberg is the second largest beer brand inBihar and sells half a million cases there and the surrounding States of West Bengal and Jharkhand.

With the additional breweries, Cobra Beer expects to increase its total capacity to about 6 million cases annually. “We would continue to look for potential acquisition of breweries. At the moment, we have six contract manufacturing facilities across the country,” says Mr Bilimoria. With a turnover of Rs 100 crore in the domestic market, the biggest market for Cobra Beer currently is Delhi.