C&C Group PLC (LSE:CCR) shares climbed nearly 8% to 96.40p on a nominal-cost deal for Asahi UK's wholesale businesses that promises added scale, while full-year profit expectations held steady.
The acquisition covers Nectar Imports and Asahi UK's direct distribution operations, which will join Matthew Clark Bibendum (MCB) alongside a long-term partnership associated with Asahi brands in the UK.
The agreement also transfers supply arrangements for the Fuller, Smith & Turner pub estate, extending MCB's customer reach.
Chief executive Roger White expects immediate scale and efficiency, with the acquisition making a small positive contribution to MCB's financial performance in financial year 2027.
Meanwhile, first-half net revenue fell 3%, with branded revenue up 2% and distribution down 4%, while expected underlying operating profit of €43 million to €44 million matched management's expectations.
Branded growth was supported by Tennent's, Bulmers, favourable weather and targeted World Cup marketing, while the Premium portfolio expanded and Innis & Gunn delivered a strong contribution.
Within distribution, the planned exit of some lower-margin customer business principally drove the decline, alongside falling outlet numbers and weakness in certain drinks categories.
Against this backdrop, management kept full-year operating profit expectations in line with market forecasts, while flagging volatile conditions and the importance of Christmas trading.
Completion is due in early October, after which customers will move onto MCB's operational, commercial and supply chain infrastructure.
