Backus Plans $250 Mln Investments 2007-2008

Peruvian beer producer Union de Cervecerias Peruanas Backus & Johnston SA plans $250 mln (176.8 mln euro) investments in 2007 and 2008, aimed basically at buying modern equipment, general manager Roberto Priday said on September 25, 2007.

With the investments Backus seeks to increase its production and distribution capacity.

With the new allocation, the total investments made by the company in the period since 2005 when it passed under the control of UK-South African brewer SABMiller, will reach $500 mln (353.6 mln euro).

Backus has recently invested $12 mln (8.5 mln euro) to renew the equipment in its beer plant near Motupe, in the western Lambayeque region.

[Editor's note: SABMiller announced on January 18, 2007 plans to invest $1.8 bln (1.273 bln euro) in expansion in South America between 2007 to 2011, encouraged by the rising sales in the region. The company will initially focus on expansion in Colombia and Peru.]

Publication: Business Digest
Provider: AII Data Processing Ltd.
Date: September 26, 2007

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