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CHEERS: President Hage Geingob meets Heineken group CEO, Dolf Van Den Brink at State House.
CHEERS: President Hage Geingob meets Heineken group CEO, Dolf Van Den Brink at State House.

New NBL ­owners rule out retrenchments, identity change

Ogone Tlhage
Heineken group CEO Dolf van den Brink says Namibia Breweries Limited (NBL) will remain a local company despite the Dutch brewing company's recent acquisition of Ohlthaver & List’s (O&L) shareholding.

O&L sold 60% of its stake to Heineken.

Van den Brink’s comments come on the back of a courtesy call to President Hage Geingob last week following the conclusion of the transaction.

Speaking to Geingob, he said that it was important for NBL to remain a locally listed company.

“The company is publicly listed, the Namibian pension funds are a significant shareholder, and we were deliberate from the beginning that we will take over the O&L share. It is in the public interest [that] the ownership by Namibian pension funds will remain as is, so we hope the Namibian public will still feel like they own this company and these brands,” Van den Brink said.

He also gave assurance that NBL would not lay off workers en masse, save for at management level.

“There won’t be retrenchments. No reduction of employees below management level. Actually, we are merging with the operations of Distell in Namibia, so 25 employees of Distell are joining into the operations of Nambrew,” he said.

Heineken’s acquisition of NBL includes a total takeover of Distell, the largest producer and marketer of spirits, fine wines, ciders and ready-to-drinks on the continent. Distell is the producer of Tassenberg and the Savanna and Hunters ciders.

The transaction served as a major point to also grow NBL as a business in Namibia, with plans to expand Distell’s operations in the country.

Empowerment targets

Heineken president for the African region Roland Pirmez said the company was unmoved by requirements to comply with empowerment equity targets, as government mulls the introduction of the Namibia Economic Empowerment Framework.

“It brings an opportunity... I think empowerment means that you empower the people, and with the global knowledge and experience that you can bring, you can empower more people locally and grow with talents outside of Namibia,” he said.

When pressed on government’s plans to introduce equity thresholds, while not on the ball regarding detailed specifics, Pirmez highlighted Heineken’s opportunity for growth. This despite concerns over the long-awaited empowerment framework, adding that the company had a good equity representation.

“From an equity perspective, overall, we have a good representation,” he said on the sidelines of an interview at State House.

The deal is Heineken’s biggest merger and acquisition transaction in over 10 years, according to Van den Brink.

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Namibian Sun 2024-11-23

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