Champion Breweries Signs Agreement to Take Over Bullet Drink Portfolio

Champion Breweries Plc has signed an agreement to acquire the brand assets and intellectual property of the Bullet alcoholic and energy drink portfolio from Sun Mark International Limited.

In a statement filed with the Nigerian Exchange (NGX), the company — a subsidiary of enJOYcorp — said the acquisition aligns with its strategy to expand into fast-growing food and beverage categories.

The deal is structured as an asset carve-out, with the Bullet brand being transferred to a new company based in the Netherlands. Champion Breweries will hold a controlling stake, while Vinar N.V., a Belgian firm and majority shareholder of Sun Mark, will maintain a minority interest.

The transaction is still subject to approvals, including clearance from the Federal Competition and Consumer Protection Commission (FCCPC). Once completed, Champion will consolidate Bullet’s assets into its financials, generating immediate benefits such as foreign exchange inflows and wider distributor coverage, along with long-term gains from supply chain efficiencies, brand diversification, and stronger market positioning.

Bullet already has an established footprint across 14 African markets, including Nigeria, Cameroon, Ghana, Ivory Coast, DR Congo, and Tanzania. In Nigeria, Bullet Black leads the ready-to-drink beverage category, while Bullet Blue ranks among the top energy drink brands.

The announcement comes after Champion’s strong H1 2025 results. The company reported a pre-tax profit of N3.4 billion, compared with a N333 million loss in the same period of 2024.

In Q2 2025 alone, pre-tax profit rose 268.95% year-on-year to N1.7 billion, driven by robust demand for beer and malt products. Sales climbed 44.18% to N7.4 billion, pushing half-year revenue to N15.9 billion, up 66.92% from 2024.

Despite higher production costs — which grew from N2.9 billion in Q2 2024 to N3.5 billion — gross profit rose 72.90% to N3.8 billion. Profit after tax surged nearly 200% to N1.3 billion, with the company avoiding forex losses during the quarter.

As of June 2025, total assets stood at N25.9 billion, while retained earnings increased 45.13% to N5.6 billion. Champion’s share price has already soared more than 418% year-to-date, and the Bullet acquisition is expected to fuel further investor confidence.