Fraser & Neave (F&N) says its 55 per cent stake in Myanmar Brewery has been estimated to be worth US$560 million by an independent valuer - more than double the original offer of US$246 million from Myanmar Economic Holdings, its joint-venture partner in the brewery according to the Straits Times on 22 July.
Myanmar Economic had earlier won an arbitration ruling that will require F&N to sell its 55 per cent stake to its partner, but the arbitration tribunal set aside the original valuation of US$246 million and ordered that the sale take place at a fair value to be determined by an independent valuer.
A sale of its Myanmar Brewery stake means that F&N could lose a significant growth driver and its only alcohol product since selling its stake in Tiger beer maker Asia Pacific Breweries in 2012.