Heineken sells off Bralima and exits Congo after 40 years of operations
Dutch beverages giant Heineken is pulling out of the Democratic Republic of Congo almost exactly 40 years when it acquired a majority stake in Bralima. The Amsterdam beer conglomerate announced it sold its ownership in the Kinshasa company to ELNA Holdings in Mauritius. While Heineken said it was in keeping with company strategy, the Dutch firm was affected by violence in the region last year.
Headquartered in Kinshasa, Bralima is among the largest beverage firms in Central Africa. It has been largely owned by Heineken since 1986.
The Dutch company said it wants to consolidate its focus, and reduce the number of breweries it owns in specific countries. However, Heineken brands will remain available for sale in Congo through licensing agreements.
The divestment of Bralima follows problems in eastern Congo. Heavy fighting took place there last year between rebel group M23 and the Congolese army, during which human rights violations occurred, according to the United Nations.
In June, Heineken lost control of facilities in Bukavu and Goma, which were taken over by armed militants. In November, Heineken sold its brewery in Bukavu for 1 euro.
Heineken is now also selling the remaining Bralima breweries in Kinshasa, Kisangani, and Lubumbashi. Financial details of that deal were not disclosed.
Bralima was a key stepping stone in the career of Dolf van den Brink, now the head of Heineken. He worked as commercial director from 2005 to 2009, a period he later referred to as an important learning phase in his career.
Heineken’s operations in Congo have been controversial, particularly because of Bralima’s activities in rebel-controlled regions. In 2015, 168 former employees brought a complaint before the OECD, alleging human rights abuses between 1999 and 2003, including wrongful dismissals and cooperation with the rebel group RCD-Goma. They argued that Heineken failed to act adequately. The dispute was eventually settled in 2017.