British brewer Diageo has announced the sale of Guinness Cameroon S.A. to Société Anonyme des Brasseries du Cameroun (SABC), the Cameroonian subsidiary of the Castel Group.
SABC will now produce and distribute Guinness Cameroon S.A. (GCSA) beers, mixed alcohol, and malt beverages throughout Cameroon under brand licensing agreements.
Guinness marketing in Cameroon will continue to be managed by the Guinness Global Brand Team, which will define the strategy with Diageo's dedicated local resources and in collaboration with SABC.
Cameroon, along with Gabon, is the leading country in French-speaking sub-Saharan Africa in terms of per capita beer consumption and benefits from a very wide range of local and international brands.
The Société Anonyme des Brasseries du Cameroun (SABC), created just after World War II and a subsidiary of the Castel Group, which markets both local brands such as Manyan and Castel, as well as international brands such as 33 Export, Mutzig, Amstel, and Pelforth, dominates the market and already accounts for three-quarters of consumption across all brands. By acquiring Guinness, which represents nearly 15% of the market, the Castel Group now enjoys a virtual monopoly in Cameroon.
However, at the end of June, a new entrant arrived on the market with the first beer from Brasserie Samuel Foyou (Brasaf), and the Union des Brasseries du Cameroun (UBC), which markets the Kadji Beer, K44, and King Beer brands, is another major competitor.
The sale is expected to be finalized later in 2022, subject to the necessary competition approvals.