SAO PAULO, Nov 17 (Reuters) - Heineken NV and Brazilian distributors for Coca-Cola Co will begin arbitration in February regarding a distribution contract that the Dutch brewer decided to end this year, according to a Friday report by newspaper Valor Economico.
Heineken broke off the contract after acquiring the Braziian operations of Japan’s Kirin Holdings Co Ltd for 1.025 billion euros ($1.21 billion), bolstering its own distribution network in the country.
According to another report by newspaper O Estado de S. Paulo, Heineken suggested the Coke distributors keep their contract for two beer brands, Bavaria and Kaiser, until 2022, but an association of distributors rejected the proposal.
A press representative for Heineken did not immediately respond to a request for comment. A representative for the Coke distributors declined to comment immediately on the matter, citing the confidentiality of the ongoing dispute.
$1 = 0.85 euros Reporting by Brad Haynes; Additional reporting by Alexandra Alper and Tatiana Bautzer; Editing by David Gregorio