Kirin Holdings Co. said Thursday it has agreed to a buy out of its entire stake in a junta-linked joint venture in Myanmar, paving the way for the Japanese beverage maker to exit the Southeast Asian country's beer market.
Under the agreement, Kirin plans to sell its share of Myanmar Brewery Ltd. for around 22.4 billion yen ($164 million) as soon as possible, though the timing of the transaction has not been decided.
The beer venture, owned 51 percent by Kirin and 49 percent by Myanma Economic Holdings Public Co., is the leading brewery in the nation where the democratically-elected government was overthrown in a coup in February 2021.
The deal came after Kirin announced its plan in February last year to dissolve the joint venture immediately after the coup. In February this year, the Japanese company said it will exit Myanmar.
Kirin has also agreed to sell its stake in Mandalay Brewery Ltd., another joint venture with Myanma Economic Holdings.
The impact of the deal on its earnings for the current business year ending December is under review, Kirin said.