Beam Suntory and Frucor Suntory have struck a $3 billion joint venture to manufacture, sell, and distribute premium spirits and alcohol-free beverages in Australia and New Zealand.
Under the new umbrella, both brands will combine to form Oceania’s fourth-largest ANZ beverage business, with complete end-to-end control over its portfolio, including manufacturing, sales, and distribution.
As part of the deal, Suntory Oceania will oversee the manufacturing, sales, and distribution of the company’s 40 leading beverage brands, including Jim Beam, Maker’s Mark, Hibiki Japanese Whisky, and Canadian Club Whisky.
Preparation is underway, with the collaboration aiming to be operational in Australia by mid-2025 and in New Zealand by 2026.
Darren Fullerton, Frucor Suntory CEO, expressed his delight, saying bringing the best of Suntory to Oceania is the main goal of this new endeavour.
“With the ability to accelerate our growth trajectory, we strongly believe it will redefine market dynamics and offer more consumer beverage moments from sunrise to sunset, unlocking innovation for our customers across retail and hospitality industries,” Fullerton stated.
Mark Hill, managing director of Beam Suntory Oceania, said the partnership demonstrates the company’s belief in the growth potential of the Australian and New Zealand markets.
“When other businesses are pulling back, we are forging ahead, bringing Suntory’s spirit of bold ambition to life,” Hill noted.
In addition to existing production activities in Auckland, the new Queensland location will house additional beverage processing, packaging, warehousing, and distribution.
The new factory is scheduled to open in mid-2024, with the capacity to produce 20 million cases at the outset and more than 50 million cases in the future.
Fullerton added, “At Suntory, we are proud of our nearly 125-year-old focus on Growing for Good. The new site sets the industry standard in terms of investment into sustainable technologies to drive efficiency and minimise our carbon footprint.”
He also said that the new Queensland site’s ambition includes 14km of solar panels, a biomass boiler, and environmentally friendly, cutting-edge production equipment.
