Sometimes you get your stock info from the weirdest places.
The other day I saw this tweet…
The article is from AdAge, a magazine from the advertising industry. Although their focus is (obviously) not on stocks, there is a cool piece of info coming out of this.
I’ve summarized the key points below:
- Brewer Heineken (HINKY) is moving back into Myanmar after nearly 2 decades of being away. Carlsberg Brewery (CABHG) just moved there.
- These companies are competing against a locally owned brewery that controls 51% of the market.
- Beer consumption is only a fraction of what it is elsewhere in the world. (I believe that will change as Myanmar, along with other emerging economies, become increasingly westernized and “middle class”).
- Marketing beer is more restrictive than elsewhere in the world but when have marketing restrictions ever stopped sin stocks?
A move back to Myanmar is not going to be a windfall for Heineken or Carlsberg but I suspect this is a long-term plan in a country that should, along with other emerging nations, see increasing growth and prosperity.
Here’s an additional consideration for investors: If Carsberg and Heineken are moving here… can we expect other breweries to follow?