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South African Breweries

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A brewery or brewing company is a business that makes and sells beer . The place at which beer is commercially made is either called a brewery or a beerhouse , where distinct sets of brewing equipment are called plant. The commercial brewing of beer has taken place since at least 2500 BC; in ancient Mesopotamia , brewers derived social sanction and divine protection from the goddess Ninkasi . Brewing was initially a cottage industry , with production taking place at home; by the ninth century, monasteries and farms would produce beer on a larger scale, selling the excess; and by the eleventh and twelfth centuries larger, dedicated breweries with eight to ten workers were being built.

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85-477: South African Breweries (officially The South African Breweries Limited , informally SAB ) is a major brewery headquartered in Johannesburg , South Africa and was a wholly owned subsidiary of SABMiller until its interests were sold to Anheuser-Busch InBev on 10 October 2016. South African Breweries is now a direct subsidiary of Anheuser-Busch InBev SA/NV. The company that is now South African Breweries

170-936: A 1 billion rand (US$ 69 million) fund that would "support farmers, local manufacturing, jobs, and the reduction of harmful alcohol use," including funding new barley and hops farms. This offer was made to convince the regulators to approve the sale of SABMiller. The company is bound by an agreement with the South African Competition Tribunal that employment numbers at South African Brewery will be stable for five years and that there will be no forced reductions of staff and that unionized employees will not be offered voluntary separation for five years. However, AB InBev decided to attempt some cost savings by offering voluntary severance offers to some management level staff at SAB. On 23 January 2017, Robyn Chalmers, Director of Communications, AB InBev Africa and SAB, said that "... no employee will be forcibly retrenched as

255-413: A beer tax in 1004 AD. Early breweries were almost always built on multiple stories, with equipment on higher floors used earlier in the production process, so that gravity could assist with the transfer of product from one stage to the next. This layout often is preserved in breweries today, but mechanical pumps allow more flexibility in brewery design. Early breweries typically used large copper vats in

340-440: A conical bottom and a cylindrical top. The cone's aperture is typically around 70°, an angle that will allow the yeast to flow smoothly out through the cone's apex at the end of fermentation, but is not so steep as to take up too much vertical space. CCVs can handle both fermenting and conditioning in the same tank. At the end of fermentation, the yeast and other solids have fallen to the cone's apex can be simply flushed out through

425-579: A domestic scale. In some form, it can be traced back almost 5000 years to Mesopotamian writings describing daily rations of beer and bread to workers. Before the rise of production breweries, the production of beer took place at home and was the domain of women, as baking and brewing were seen as "women's work". Breweries, as production facilities reserved for making beer, did not emerge until monasteries and other Christian institutions started producing beer not only for their own consumption but also to use as payment. This industrialization of brewing shifted

510-526: A failed glass manufacturer, Union Glass, to counter the acute shortage of bottles during World War I . In 1954, Union Glass merged with Consolidated Glassworks and this business was sold off in 1960 to Anglovaal Industries . The company became an important player in international glass manufacturing when it acquired the Plate Glass Group in 1992. The Plate Glass Group traced its roots to a British immigrant and entrepreneur who, in 1897, established

595-562: A formal education in the subject from institutions such as the Siebel Institute of Technology , VLB Berlin , Heriot-Watt University , American Brewers Guild, University of California at Davis , University of Wisconsin , Olds College or Niagara College . They may hold membership in professional organisations such as the Brewers Association , Master Brewers Association , American Society of Brewing Chemists ,

680-615: A hotel chain owned by Sol Kerzner , to form a separate subsidiary known as Southern Sun Hotels. Kerzner remained with Southern Sun as its managing director for several years thereafter. In 1983 Kerzner left SAB, but remained a significant shareholder in the company. Southern Sun eventually grew to become the leading hotel chain in South Africa, with franchises awarded by Holiday Inn and Inter-continental Hotels. By 1998, this subsidiary owned 74 hotels with 12,200 rooms, or about 22 per cent of industry capacity. Southern Sun also maintained

765-546: A minority interest in an eco-tourism company. Development of new hotels depended on securing licences from the government, "as the state still owned large tracts of land in both urban and rural areas." Suitable locations for hotel and resort development were very limited, and local government officials often did not have the training and expertise needed to make informed decisions about the granting of such licences. Resulting delays resulted in significant costs. Several international hotel chains decided to enter South Africa after

850-509: A more carbonated beer. When the sugars in the fermenting beer have been almost completely digested, the fermentation process slows and the yeast cells begin to die and settle at the bottom of the tank. At this stage, especially if the beer is cooled to around freezing, most of the remaining live yeast cells will quickly become dormant and settle, along with the heavier protein chains, due simply to gravity and molecular dehydration. Conditioning can occur in fermentation tanks with cooling jackets. If

935-648: A negative effect on the premium retail market in the mid-1990s. SAB off-loaded the OK Bazaar grocery chain in 1997 for one rand, after losing nearly R20 million per month. And at the beginning of 1998, the Clothing and Footwear, as well as the furniture divisions were also sold. Later SAB also sold its 21% minority stake in Edgars Fashion Group in 2004. SAB no longer holds any manufacturing or retail assets. The company's earliest international venture

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1020-714: A notable exception). Heating in the brewhouse usually is achieved through pressurized steam, although direct-fire systems are not unusual in small breweries. Likewise, cooling in other areas of the brewery is typically done by cooling jackets on tanks, which allow the brewer to control precisely the temperature on each tank individually, although whole-room cooling is also common. Today, modern brewing plants perform myriad analyses on their beers for quality control purposes. Shipments of ingredients are analyzed to correct for variations. Samples are pulled at almost every step and tested for [oxygen] content, unwanted microbial infections, and other beer-aging compounds. A representative sample of

1105-637: A pan-African strategic alliance with the Castel group offered the opportunity to invest in promising new African markets and the benefits of scale economies. Involvement in Central and South America started in 2001 with the acquisition of Honduran and Salvadoran breweries. This was followed four years later by the purchase of a major holding in Grupo Empresarial Bavaria, South America's second largest brewer. One of its largest transactions

1190-593: A plate glass manufacturing operation in Cape Town , South Africa. Eventually the company became a leading producer of safety and bullet-proof glass for automobiles. In 1987 the company launched a new subsidiary in the United States in partnership with SAB and Anglo American. When Glass medic, a US-based windshield repair and replacement company, was acquired in 1990, the South African parent company merged

1275-639: A port at the apex. Open fermentation vessels are also used, often for show in brewpubs, and in Europe in wheat beer fermentation. These vessels have no tops, making it easy to harvest top-fermenting yeasts. The open tops of the vessels increase the risk of contamination, but proper cleaning procedures help to control the risk. Fermentation tanks are typically made of stainless steel . Simple cylindrical tanks with beveled ends are arranged vertically, and conditioning tanks are usually laid out horizontally. A very few breweries still use wooden vats for fermentation but wood

1360-480: A result of the merger. It is too early in the process to say how many people may opt for the voluntary offer." She added that the offer "has been made available only to mid-level employees and above". Since the company must maintain the staffing level, highly paid managers will probably be replaced by staff at lower levels. Prior to incorporation in the year 1895, Castle Brewery had operations in Cape Town to serve

1445-481: A result, the hotel industry began to experience significant over-supply. Combined with a weak currency, this translated into some of the lowest room rates in the world. Although escalating levels of violent crime had been a serious constraint for South African tourism, Southern Sun had been able to maintain an average occupancy above 70%. In 1997, hotel earnings increased by 16% over the previous year to contribute R182 million to group earnings. The government introduced

1530-647: A significant growth catalyst for Brand and accordingly, market share establishment into African and Indian Ocean markets, as well as generated significant foreign currency for the Group to allow for Investment (South African Reserve Bank regulations at the time made raising Foreign Capital difficult). SAB was invited to revitalise the beer industry in Tanzania, a joint venture with that country's government in Tanzania Breweries Limited , and to re-enter

1615-568: A subsidiary of SAB InBev. According to Bloomberg, Grant Murray Liversage was the Finance Director of South African Breweries Limited after the takeover by Anheuser-Busch InBev SA/NV. Mauricio Leyva Arboleda, currently employed by Anheuser-Busch InBev SA/NV and Dinyar S. DeVitre were board members of SAB. Before the 10 October 2016 acquisition of SABMiller, in April 2016, Anheuser-Busch InBev had agreed to protect South African jobs and create

1700-425: Is an optional process. Many craft brewers simply remove the coagulated and settled solids and forgo active filtration. In localities where a tax assessment is collected by government pursuant to local laws, any additional filtration may be done using an active filtering system, the filtered product finally passing into a calibrated vessel for measurement just after any cold conditioning and prior to final packaging where

1785-513: Is credited with developing the refrigeration machine in 1871. Refrigeration allowed beer to be produced year-round, and always at the same temperature. Yeast is very sensitive to temperature, and, if a beer were produced during summer, the yeast would impart unpleasant flavours onto the beer. Most brewers would produce enough beer during winter to last through the summer, and store it in underground cellars, or even caves, to protect it from summer's heat. The discovery of microbes by Louis Pasteur

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1870-505: Is difficult to keep clean and infection-free and must be repitched often, perhaps yearly. After high kräusen, the point at which fermentation is most active and copious foam is produced, a valve known in German as the spundapparat may be put on the tanks to allow the carbon dioxide produced by the yeast to naturally carbonate the beer. This bung device can regulate the pressure to produce different types of beer; greater pressure produces

1955-525: Is in Leuven , Belgium) as its Africa hub. Since SABMiller had been acquired on 10 October 2016, and became a wholly owned subsidiary of Anheuser-Busch InBev SA/NV, there was no longer a need for a board of directors for the former SABMiller. In August 2017, Anheuser Busch InBev had announced that Mauricio Leyva, then the CEO of SAB South Africa, would be the only executive to remain with Anheuser Busch Inbev SA/NV on

2040-502: Is under threat," observers said, and some thought that within a few years NSB could achieve 10 per cent market share. Instead, the company ran into financial difficulties and failed to gain any significant share of the market. This does not mean that SAB's position could never be threatened. In 2004, a new company was established in South Africa known as Brandhouse through a joint venture of Diageo, Heineken and Namibian Breweries. Brandhouse started marketing, selling and distributing some of

2125-747: The Coca-Cola Company bought the Coca-Cola operations in Africa and in two Central American countries. The deal requires regulatory approval and should close by the end of 2017. In August 2016, after the plans for acquiring SABMiller had been established by Anheuser-Busch InBev, the company said it would close SABMiller's regional offices in Miami, Hong Kong and Beijing after the acquisition deal closed in October 2016. Plans had not yet been revealed for

2210-609: The Institute of Brewing and Distilling , and the Society of Independent Brewers . Depending on a brewery's size, a brewer may need anywhere from five to fifteen years of professional experience before becoming a brewmaster. Castle Brewery Castle Brewery is one of the oldest commercial breweries in South Africa. As company-endorsed legend would have it, the company was founded by Charles Glass in Johannesburg in 1894. UCT history professor Anne Kelk Mager has argued that

2295-574: The Ohlsson's and Chandlers Union breweries, and the group was renamed South African Breweries. From the early 1990s onward, the company increasingly expanded internationally, making several acquisitions in both emerging and developed markets. In 1999, it formed a new UK-based holding company, SAB plc, and moved its primary listing to London. In May 2002, SAB plc acquired Miller Brewing , forming SABMiller plc . On 10 October 2016, Anheuser-Busch InBev acquired SABMiller for £69 billion (US$ 107 billion at

2380-505: The South African Breweries . The main brand is Castle Lager , first brewed in 1895. Castle Lager has won many awards, from gold medals to the "World's Best Bottled Lager" award at the 2000 International Brewing Industry Awards . The lager has 5% ABV with a unique light hops taste, advertised as "somewhat dry, somewhat bitter, never sweet" and as "the beer that stood the test of time" . South African Breweries

2465-763: The UEFA Champions League with its namesake lager; Carlsberg sponsors the English Premier League as well as the 2012 and 2016 UEFA European Championships . Meanwhile, the AB InBev Group supports the FA Cup and the FIFA World Cup . The head brewer (UK) or brewmaster (US) is in charge of the production of beer. The major breweries employ engineers with a chemistry / biotechnology background. Brewmasters may have had

2550-611: The brewer expects to evaporate . Fermentation begins as soon as yeast is added to the cooled wort. This is also the point at which the product is first called beer. It is during this stage that fermentable sugars won from the malt (maltose, maltotriose, glucose, fructose and sucrose) are metabolized into alcohol and carbon dioxide . Fermentation tanks come in many shapes and sizes, from enormous cylindroconical vessels that can look like storage silos , to 20- litre (5  US gal ) glass carboys used by homebrewers. Most breweries today use cylindroconical vessels (CCVs), which have

2635-438: The starches in the grain into sugars , especially maltose . Lautering is the separation of the extracts won during mashing from the spent grain to create wort . It is achieved in either a lauter tun , a wide vessel with a false bottom, or a mash filter, a plate-and-frame filter designed for this kind of separation. Lautering has two stages: first wort run-off, during which the extract is separated in an undiluted state from

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2720-784: The Cape and beyond. Noted brewers of the time included Cloete at the Newlands Brewery; Ohlsson at the Anneberg Brewery; Jacob Letterstedt at Mariendahl Brewery - also in Newlands: Hiddingh at Cannon Brewery; Martienssen at the Salt River Brewery, and a second Cloete in Kloof Street. One of the key figures in the story of Newlands, and in the annals of South African beer manufacturing history,

2805-661: The MillerCoors beer company to Molson Coors . On 21 December 2016, the company agreed to sell the former SABMiller Ltd. business in Eastern Europe to Asahi Breweries Group Holdings, Ltd. Anheuser-Busch InBev had previously agreed to sell Grolsch Brewery , Peroni Brewery and Meantime Brewery to Asahi; that deal closed on 12 October 2016. On the same day, the sale of SABMiller's 49 percent share in Snow beer to China Resources Enterprise also closed. In December 2016,

2890-470: The MillerCoors beer company to Molson Coors. Brewery The diversity of size in breweries is matched by the diversity of processes, degrees of automation , and kinds of beer produced in breweries. A brewery is typically divided into distinct sections, with each section reserved for one part of the brewing process. Beer may have been known in Neolithic Europe and was mainly brewed on

2975-544: The National Gambling Act in 1996, which allowed for up to 40 casino licenses to be issued to "financially competent operators." In 1997, SAB entered into a joint-venture with Tsogo Sun Gaming and Entertainment to establish up to eight casino resorts to be completed as early as 2000. Monte Casino was the first of these developments to be completed at an expected construction cost of $ US250 million. The most notable black empowerment transaction facilitated by SAB

3060-610: The New York stock exchange and as ANH on the Johannesburg market. SABMiller ceased trading on global stock markets and became a business division of Anheuser Busch Inbev SA/NV. On October 11, 2016, Anheuser Busch Inbev SA/NV divested itself of its interests in the MillerCoors beer company to Molson Coors. Since SABMiller no longer exists as an entity, South African Breweries is now a subsidiary of Anheuser-Busch InBev SA/NV (abbreviated as AB InBev). Prior to incorporation in 1895, Castle Brewery had operations in Cape Town to serve

3145-647: The New York stock exchange and as ANH on the Johannesburg market. SABMiller ceased trading on global stock markets. The acquisition of SABMiller by Anheuser-Busch InBev on 10 October 2016 ended the corporate use of the name SABMiller except as a business division of Anheuser-Busch InBev SA/NV (AB InBev). The new entity began trading on the Brussels Stock Exchange as ABI.BR and as BUD on the New York stock exchange. SABMiller ceased trading on global stock markets and divested itself of its interests in

3230-492: The North American Markets." Worldwide market share was on the order of 18%, and SAB envisioned further expansion in the coming years: In Europe, Belron was opening an average of 12 new outlets per month. While sales had increased by five per cent in 1997, earnings had declined eight per cent to R255 million as a result of the borrowing costs associated with new acquisitions and expansion. In 1997, recognising

3315-497: The UK's Whitbread, had tried to enter the South African market, all had thus far failed to gain significant market share. From time to time, new startups also tried to challenge SAB's monopoly, but these had either gone out of business, or been acquired by SAB. A case in point was National Sorghum Breweries (NSB), "a black business consortium" founded in 1990, and the first new player in the beer industry in more than 10 years. "SAB’s supremacy

3400-622: The adverts printed on football team's kit. For example, Liverpool F.C. had the logo of the Denmark-based Carlsberg brewery group on the front of its shirts for nearly twenty years, from 1992 to 2010. Nowadays major brewing corporations are involved in sponsorship on a number of different levels. The prevailing trend is for the leading brand not to be linked to individual teams; rather, they achieve visibility as sponsor of tournaments and leagues, so all fans can engage with them regardless of which team they support. Heineken sponsors

3485-627: The beer is put into the containers for shipment or sale. The container may be a bottle , can , of keg , cask or bulk tank. Filters come in many types. Many use pre-made filtration media such as sheets or candles. Kieselguhr, a fine powder of diatomaceous earth , can be introduced into the beer and circulated through screens to form a filtration bed. Filtration ratings are divided into rough, fine, and sterile. Rough filters remove yeasts and other solids, leaving some cloudiness, while finer filters can remove body and color. Sterile filters remove almost all microorganisms. Brewing companies range widely in

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3570-586: The beer markets of Zambia, Mozambique and, later, Angola. This followed one of its first foreign investments into the Canary Islands. Expansion continued into Africa in the 1990s and on other continents into Hungary (1993), China (1995), Romania, Poland (1995–96), Slovakia (1997), and Russia (1998), the Czech Republic (1999), India (2000) and Central America in 2001. The group's expansion into Asia started with its 1995 negotiation of joint control of

3655-491: The beer's marketing, sales, and distribution, while leaving the brewing and packaging to the producer-brewery (which confusingly may also be referred to as a contract brewer). Often the contract brewing is performed when a small brewery can not supply enough beer to meet demands and contracts with a larger brewery to help alleviate their supply issues. Some breweries do not own a brewing facility, these contract brewers have been criticized by traditional brewing companies for avoiding

3740-499: The brewer more control of the process, and greater knowledge of the results. Breweries today are made predominantly of stainless steel , although vessels often have a decorative copper cladding for a nostalgic look. Stainless steel has many favourable characteristics that make it a well-suited material for brewing equipment. It imparts no flavour in beer, it reacts with very few chemicals, which means almost any cleaning solution can be used on it (concentrated chlorine [bleach] being

3825-461: The brewery. It gave brewers the ability to mix liquids more reliably while heating, particularly the mash , to prevent scorching, and a quick way to transfer liquid from one container to another. Almost all breweries now use electric-powered stirring mechanisms and pumps. The steam engine also allowed the brewer to make greater quantities of beer, as human power was no longer a limiting factor in moving and stirring. Carl von Linde , along with others,

3910-651: The brewhouse, and fermentation and packaging took place in lined wooden containers. Such breweries were common until the Industrial Revolution , when better materials became available, and scientific advances led to a better understanding of the brewing process. Today, almost all brewery equipment is made of stainless steel . During the Industrial Revolution, the production of beer moved from artisanal manufacture to industrial manufacture , and domestic manufacture ceased to be significant by

3995-534: The buying of Compañía Cervezera de Canarias of the Canary Islands . Nevertheless, prior to 1990, SAB remained primarily focused on domestic opportunities. In 1994, a formal Export Department consisting of 3 people (Neal & McLellan et al.) was established at Beer Division Central Office and was tasked with trading beer into Africa. This proved to be a masterstroke in Strategy as laid the foundations for

4080-825: The costs associated with a physical brewery. Gypsy, or nomad, brewing usually falls under the category of contract brewing. Gypsy breweries generally do not have their own equipment or premises. They operate on a temporary or itinerant basis out of the facilities of another brewery, generally making "one-off" special occasion beers. The trend of gypsy brewing spread early in Scandinavia . Their beers and collaborations later spread to America and Australia. Gypsy brewers typically use facilities of larger makers with excess capacity . Prominent examples include Pretty Things, Stillwater Artisanal Ales, Gunbarrel Brewing Company, Mikkeller , and Evil Twin . For example, one of Mikkeller's founders, Mikkel Borg Bjergsø, has traveled around

4165-408: The deal closed on 10 October 2016. The acquisition, subsequently referred to as a merger in the news media, ended the corporate use of the name SABMiller. The new company is called Anheuser-Busch InBev SA/NV, (AB InBev) and is trading on the Brussels Stock Exchange as ABI.BR and as BUD on the New York stock exchange. SABMiller ceased trading on global stock markets and divested itself of its interests in

4250-520: The end of the 19th century. In addition to changes in manufacturing capacity, the number of breweries grew throughout industrialization. For example in America, number of breweries rose from 431 to 4,131 between 1850 and 1873. A handful of major breakthroughs have led to the modern brewery and its ability to produce the same beer consistently. The steam engine , vastly improved in 1775 by James Watt , brought automatic stirring mechanisms and pumps into

4335-413: The finished product often is stored for months for comparison, when complaints are received. Brewing is typically divided into 9 steps: milling, malting, mashing, lautering, boiling, fermenting, conditioning, filtering, and filling. Mashing is the process of mixing milled , usually malted , grain with water, and heating it with rests at certain temperatures to allow enzymes in the malt to break down

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4420-579: The four largest brewing companies ( Anheuser-Busch InBev , SABMiller , Heineken International , and Carlsberg Group ) controlled 50% of the market The biggest brewery in the world is the Belgian company Anheuser-Busch InBev . In the United States, there were 69,359 people employed in breweries in 2017. This is up from 27,805 in 2001. Some commonly used descriptions of breweries are: Contract brewing –When one brewery hires another brewery to produce its beer. The contracting brewer generally handles all of

4505-724: The group purchased the Miller Brewing Company in North America from the Altria Group in 2002, and changed its name to SABMiller . Within South Africa, SAB distributes beer through its extensive network, augmented by a fleet of independent truck drivers (called owner-drivers) comprising mainly former employees, many of whom had received help from the group to start their own businesses. SAB has invested billions of rands in this owner-driver project since inception. Although several international brewers, such as

4590-465: The launch of Dutch heritage beer, Grolsch, following SABMiller's acquisition of Koninklijke Grolsch N.V. in early 2008. Dreher Premium Lager was launched in South Africa the same year, and the company has made a number of innovations in the spirit cooler and apple-ale categories in recent years. In October 2016, Anheuser-Busch InBev acquired the entire SABMiller company which then became a business division of Anheuser-Busch InBev SA/NV and ceased trading on

4675-413: The lifting of economic sanctions. By 1998, numerous hotels were under construction by Hyatt , Sheraton , Howard Johnson's , Days Inn , Hilton , Best Western , Concorde (France), Le Meridian (France), and Relais de Chateau (France), among others. Most new hotel development was in the executive and luxury segments of the market. In less than four years, industry-wide capacity had more than doubled, and as

4760-425: The market in 1997 resulting in the liquidation of Pepsi franchisees. Pepsi, however, re-entered the South African market in 2006. In December 2004, SAB Ltd acquired 100% of Amalgamated Beverage Industries Limited (ABI), which became the soft drink division of SAB Ltd, and the largest beverage company in South Africa was created. In 1917, the group began to venture into unrelated businesses when it agreed to take over

4845-635: The need to enhance long-term shareholder value, SAB returned to its core beverage business, locally and internationally, selling off or closing non-core operations over the next few years. Amongst these was the Plate Glass business. Although SAB (then called Castle Breweries) had established the first pub in South Africa in 1896, it did not begin to invest heavily in service industries until 1949 when an aggressive expansion thrust saw some £4.5 million invested in hotels and pubs, as well as additional brewing facilities. In 1969, these interests were merged with

4930-411: The new entity's 18 member permanent board. Leyva would become zone president for Middle Americas at Anheuser Busch Inbev SA/NV. News reports indicated that "three ... SABMiller executive committee members - general counsel John Davidson, human resources head Johann Nel and Africa MD Mark Bowman - [would] stay on for a six-month transitional period only". South African Breweries (SAB) remains an entity, as

5015-502: The next 200 years, brewing made its mark in the Cape and beyond. Noted brewers of the time included Cloete at the Newlands Brewery; Ohlsson at the Anneberg Brewery; Jacob Letterstedt at Mariendahl Brewery - also in Newlands : Hiddingh at Cannon Brewery; Martienssen at the Salt River Brewery, and a second Cloete in Kloof Street. One of the key figures in the story of Newlands, and in the annals of South African beer manufacturing history,

5100-407: The official SAB story overemphasized the role of Charles and that it was his wife Lisa Glass who was primarily responsible for the creation of Castle. It later merged with other breweries to form South African Breweries , which still later merged with Miller of the United States to form SABMiller . On October 10, 2016, Anheuser-Busch InBev acquired SABMiller for £69 billion (US $ 107 billion at

5185-713: The operation in Zug, Switzerland which controlled SABMiller's central & eastern European beer brands. However, the subsequent sale of much of the business in such countries to Asahi Breweries may affect the Zug operation. The office in Woking (United Kingdom) was expected to remain open for a transitional period but the HQ in London's Stanhope Gate would close. The South African Breweries office in Johannesburg will remain open and will also be used by Anheuser Busch InBev SA/NV (whose corporate HQ

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5270-470: The responsibility of making beer to men. The oldest, still functional, brewery in the world is believed to be the German state-owned Weihenstephan brewery in the city of Freising , Bavaria . It can trace its history back to 1040 AD. The nearby Weltenburg Abbey brewery, can trace back its beer-brewing tradition to at least 1050 AD. The Žatec brewery in the Czech Republic claims it can prove that it paid

5355-708: The second-largest brewery in mainland China with China Resources, a privatisation arm of the government of the People's Republic of China. Further investments included those in the Harbin Brewery Group and the Fuyang City Snowland Brewery. In 2000 SAB plc entered the Indian market where it has subsequently increased its commitment. By 2001, turnover from SAB plc's international operations accounted for 42% of group turnover. The same year,

5440-404: The spent grains, and sparging , in which extract that remains with the grains is rinsed off with hot water. Boiling the wort ensures its sterility, helping to prevent contamination with undesirable microbes. During the boil, hops are added, which contribute aroma and flavour compounds to the beer, especially their characteristic bitterness. Along with the heat of the boil, they cause proteins in

5525-570: The steady expansion of a settler community from the mid-17th century. The demand for beer prompted the first Dutch governor, Jan van Riebeeck , to establish a brewery at the Fort (later replaced by the Castle in central Cape Town) as early as 1658 - beating the first wine production by six months. In the same year, Pieter Visagie brewed the first beer from the waters of the Liesbeeck River . Over

5610-508: The steady expansion of a settler community from the mid-17th century. The demand for beer prompted the first Dutch governor, Jan van Riebeeck, to establish a brewery at the Fort (later replaced by the Castle in central Cape Town) as early as 1658 - beating the first wine production by six months. In the same year, Pieter Visagie brewed the first beer from the waters of the Liesbeeck River. Over the next 200 years, brewing made its mark in

5695-526: The subsequent shock to the South African beer industry proved to be a blessing in disguise for SAB. A year later, the company purchased its two main competitors, Ohlsson's and Chandlers Union Breweries, both of whom were struggling under the depressed demand for beer, and the group was renamed South African Breweries. After the acquisitions the new and larger SAB was able to rationalize operations, thereby reducing costs and increasing profitability. Donald Gordon's Liberty Life Strategic Investments (LIBSIL), which

5780-593: The subsidiaries under the name Belron International. Belron became a base from which to launch further acquisitions. When SAB purchased Plate Glass in 1992, it was renamed Shatterprufe Limited. Belron had by 1998 become the world's leading producer of automotive replacement glass, with some 1,865 retail outlets in North America, Europe, Australia, and Brazil . Growth had come mainly through acquisitions. In 1997, Belron acquired several leading brands, including Standard Autoglass in Canada, thereby becoming "the largest player in

5865-423: The time the deal closed a year later). The arrangement had been approved by shareholders of both companies on 28 September 2016, and the deal closed on 10 October 2016. The acquisition - subsequently referred to as a merger in the news media - ended the corporate use of the name SABMiller. The new company is called Anheuser-Busch InBev SA/NV, (AB InBev) and is trading as ABI on the Brussels Stock Exchange, as BUD on

5950-403: The time the deal closed). The arrangement had been approved by shareholders of both companies on 28 September 2016, and the deal closed on 10 October 2016. The acquisition ended the corporate use of the name SABMiller. After the deal closed, the new company's name changed slightly, to Anheuser-Busch InBev SA/NV (abbreviated as AB InBev); it is trading as ABI on the Brussels Stock Exchange, as BUD on

6035-408: The volume and variety of beer produced, ranging from small breweries to massive multinational conglomerates, like Molson Coors or Anheuser-Busch InBev , that produce hundreds of millions of barrels annually. There are organizations that assist the development of brewing, such as the Siebel Institute of Technology in the United States and the Institute of Brewing and Distilling in the UK. In 2012

6120-412: The whole fermentation cellar is cooled, conditioning must be done in separate tanks in a separate cellar. Some beers are conditioned only lightly, or not at all. An active yeast culture from an ongoing batch may be added to the next boil after a slight chilling in order to produce fresh and highly palatable beer in mass quantity. Filtering the beer stabilizes flavour and gives it a polished, shiny look. It

6205-512: The world between 2006 and 2010, brewing more than 200 different beers at other breweries. Breweries and football have had a symbiotic relationship since the very beginnings of the game. The English Football League was founded in 1888, and by the next decade several teams already had their own brewery sponsor. In return for their financial support, the breweries were given concessions to sell beer to spectators and advertise their products in stadiums. The most outwardly visible sign of sponsorship are

6290-558: The world's top premium brands such as Heineken and Windhoek and in March 2007, the 40-year agreement between SABMiller plc and Heineken N.V. which allowed SAB Ltd to brew and distribute Amstel Lager in South Africa, was terminated, sparking a new era of competition for the industry. At the same time, Heineken announced its intention to build its own brewery in South Africa. SAB Ltd launched a new premium brand, Hansa Marzen Gold shortly thereafter and continued its expansion into premium brands with

6375-789: The worldwide stock markets. As a result, South African Breweries and Carlton & United are now owned by Anheuser-Busch InBev SA/NV. In 1925, SAB expanded into other beverages after purchasing a large share in Schweppes (soft drinks). In 1960, the group purchased a controlling interest in Stellenbosch Farmer's Winery, which, along with Distillers Corporation, contributed R98 million to group earnings in 1997. 1997, SAB subsidiary, Amalgamated Beverage Industries, purchased another Coca-Cola bottler, Suncrush, thereby doubling market share to approximately 60 per cent of South African soft drinks. PepsiCo , SAB's only competitor, withdrew from

6460-400: The wort to coagulate and the pH of the wort to fall, and they inhibit the later growth of certain bacteria. Finally, the vapours produced during the boil volatilize off-flavours , including dimethyl sulfide precursors. The boil must be conducted so that it is even and intense. The boil lasts between 60 and 120 minutes, depending on its intensity, the hop addition schedule, and volume of wort

6545-401: Was Swede Anders Ohlsson, who sailed for Africa, aged 23, in 1864. Initially, he imported Swedish goods and timbers, and developed an extensive trade network and a solid business empire. Then he turned to brewing, basing himself at Newlands, where he produced Lion Lager. In 1956, Castle Brewery bought out Ohlssons and Chandlers Union Breweries and the company, for the first time, became known as

6630-410: Was Swede Anders Ohlsson, who sailed for Africa, aged 23, in 1864. Initially, he imported Swedish goods and timbers, and developed an extensive trade network and a solid business empire. Then he turned to brewing, basing himself at Newlands, where he produced Lion Lager. In 1955, the South African government introduced a heavy tax on beer products causing many consumers to switch to spirits. However,

6715-490: Was Tsogo Investments in early 2003. The transaction, which had an implied value of approximately R1.9-billion, meant that empowerment group Tsogo Investments acquired control of Southern Sun Hotels, then the largest hotel group in southern Africa as well as Tsogo Sun, a leading casino operator in South Africa. Further diversification came in 1967 with the establishment of a new subsidiary known as Food Corporation (coffee, tea, and food products). An even larger diversification push

6800-483: Was associated with JSE-listed financial services and property holding company Liberty Holdings, maintained a large stake in the company for most of the 1990s. By 1998, SAB commanded approximately 98 per cent share of the South African beer market and was considered one of the lowest cost producers of beer in the world. In 1999, after listing on the London Stock Exchange to raise capital for acquisitions,

6885-559: Was founded in 1895 as Castle Brewery to serve a growing market of miners and prospectors in and around Johannesburg. Two years later, it became the first industrial company to list on the Johannesburg Stock Exchange and the year after (1898) it listed on the London Stock Exchange . In 1950, SAB relocated its headquarters and control from London to South Africa. In 1955, Castle Brewing purchased

6970-596: Was in 1910 when it founded Rhodesian Breweries in Southern Rhodesia, now Zimbabwe . This subsidiary spearheaded SAB's initial international expansion efforts, having established new breweries in Northern Rhodesia, now Zambia and Bulawayo , Southern Rhodesia, in the early 1950s. Further international expansion came in the 1970s and 1980s with the establishment of breweries in Botswana, Angola, and

7055-589: Was instrumental in the control of fermentation. The idea that yeast was a microorganism that worked on wort to produce beer led to the isolation of a single yeast cell by Emil Christian Hansen . Pure yeast cultures allow brewers to pick out yeasts for their fermentation characteristics, including flavor profiles and fermentation ability. Some breweries in Belgium, however, still rely on "spontaneous" fermentation for their beers (see lambic ). The development of hydrometers and thermometers changed brewing by allowing

7140-511: Was undertaken in the 1970s and 1980s, when the SAB group of companies purchased or established numerous unrelated operations including grocers (OK Bazaars), furniture factories and stores (Associated Furniture Company), shoe factories and stores (Shoecorp), and clothing stores (Scotts Stores and Edgars Fashion Group). In 1996, more than 20% of SAB's workforce was employed in these companies. Changes in consumer preferences towards less expensive goods had

7225-564: Was with the Miller Brewing Company in the US in 2002, whereupon the listed company changed its name to SABMiller plc. By the end of March 2009, SABMiller produced global lager volumes of 210 million hectolitres, with total group revenues of US$ 25,302 million. On 10 October 2016, Anheuser-Busch InBev acquired SABMiller for £69 billion. The arrangement had been approved by shareholders of both companies on 28 September 2016, and

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