Brussels, March 7 - The European Commission on Friday approved a plan by Danish beer giant Carlsberg to buy part of rival Scottish & Newcastle, a portion of a deal that also involves Dutch brewer Heineken. "The Commission's examination of the proposed transaction showed that it would not lead to competition concerns in any of the markets considered," the European Union executive said in a statement.
Carlsberg and Heineken agreed in January to buy Scottish and Newcastle (S&N) for 7.8 billion pounds ($15.7 billion) to carve up Britain's biggest brewer, the maker of Foster's, Kronenbourg and Newcastle Brown Ale.
Carlsberg has said the deal will make it the fastest-growing global brewer by boosting its presence in Russia. Heineken, Europe's No. 1 brewer, said its European sales would now be twice those of its nearest rival.
S&N and Carlsberg agreed to release projected information for their 50-50 Russia-based Baltic Beverages Holding joint venture for 2008 to 2010, which had been a sticking point in the takeover fight.
Under the break-up plan, Carlsberg will take full control of Baltic Beverages. It will also get S&N's interests in France, Greece, China and Vietnam.
Heineken will take over S&N's British business, which includes Strongbow cider and John Smith's beer, along with its operations in other European markets such as Belgium, Portugal and Ireland, plus its U.S. and Indian businesses.