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Heineken took a £737m impairment charge after writing down the value of its 40% stake in China Resources
Heineken has suffered a loss of almost £750m on its investment in China’s biggest brewer.
The Dutch drinks giant had to take a £737m write-down charge after writing down the value of its 40% stake in China Resources. The Chinese brewer’s share price had fallen below the price Heineken paid for its sale.
China Resources shares were hit by “concerns about the macroeconomic environment in China” and pessimism about whether consumers will continue to shell out money for consumer goods amid the tough economic climate, a Heineken spokesman warned.
As a result, Heineken posted losses of £80m for the first six months of the year, compared with £930m in profits over the same period in 2023.
The brewer also said demand for beer had been affected by summer rains, especially in Europe.
But price increases helped boost total sales to £15 billion, up 6 percent compared with the same period last year.
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