Beam Suntory has announced a radical overhaul of its operations in Australia and New Zealand with the creation of Suntory Oceania, a AUD3bn [US$2bn] multi-beverage partnership with Frucor Suntory.
The new business, billed as the region’s fourth-largest beverage group, is due to become operational in Australia from July 2025, and in New Zealand from the beginning of 2026. It will end Beam Suntory’s long-term partnership with Coca-Cola Europacific Partners (CCEP).
Suntory Oceania will cover functions including manufacturing, sales and distribution for a combined portfolio of 40 brands, including Jim Beam and Maker’s Mark Bourbons, as well as whiskies Hibiki and Canadian Club. It will span premium spirits and RTDs, plus a range of non-alcoholic drinks.
The new venture will also involve the construction of a new, AUD400m facility in Ipswich, Queensland, said to be the largest single FMCG investment in Australia in over a decade and due for completion by mid-2024.
The new site will house beverage processing, packaging, warehousing and distribution, supplementing existing capacity in Auckland. Initial production capacity is slated at 20m cases, with the potential to expand to 50m cases.
“This collaboration demonstrates our belief in the growth potential of the Australian and New Zealand markets,” said Mark Hill, managing director of Beam Suntory Oceania [pictured above, left, with Frucor Suntory CEO Darren Fullerton].
“When other businesses are pulling back, we are forging ahead, bringing Suntory’s spirit of bold ambition to life.”
Beam Suntory said work to establish the partnership will occur over the coming year, adding that more than 400 jobs would be created by the new organisation.
In July, Beam Suntory announced that CEO Albert Baladi will step down at the end of September, to be replaced by current chief growth & brands officer Greg Hughes.
