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Sapporo Breweries

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Sapporo Breweries

Sapporo Breweries Limited (サッポロビール株式会社, Sapporo Bīru Kabushiki-gaisha) is a Japanese beer brewing company founded in 1876. Sapporo, the oldest brand of beer in Japan, was first brewed in Sapporo, Hokkaido, in 1876 by Seibei Nakagawa. The world headquarters of Sapporo Breweries is in Ebisu, Shibuya, Tokyo. The company purchased the Canadian company Sleeman Breweries in 2006.

Sapporo Breweries has five breweries in Japan, the Sleeman brewery in Guelph, Ontario, Canada and Sapporo Brewing Company in La Crosse, Wisconsin, U.S. The main brands are Sapporo Draft; Yebisu; and Sleeman Cream Ale. Sapporo Premium has been the best-selling Asian beer in the United States since Sapporo U.S.A., Inc. was founded in 1984.

In 2003, Sapporo Breweries restructured into a holding company, Sapporo Holdings Limited, with the brewery division taken over by the second incarnation of Sapporo Breweries. Sapporo Breweries is a member of the Mitsui keiretsu.

Sapporo Breweries originated in Sapporo, Hokkaido, during the Meiji period, where the Hokkaido Development Commission (Kaitakushi) established many businesses. Seibei Nakagawa, a Germany-trained brewer, became the first brewmaster of the Kaitakushi Brewery in June 1876, and the first Sapporo Lager was produced at that time following the completion of the plant in September of that year. Privatized in 1886, the Sapporo brewery became the centerpiece for the Sapporo Beer Company.

In 1887, another company, the Nippon Beer Brewery Company, was established in Mita, Meguro, Tokyo, and began producing Yebisu Beer. The competition between Sapporo and Nippon Beer, as well as competition with the Osaka (now Asahi) and Kirin breweries led to a 1906 merger of Sapporo, Nippon, and Osaka breweries into the Dai-Nippon Beer Company, Ltd. (大日本麦酒株式会社), which formed a near monopoly on the Japanese market until after World War II.

After 1949, Dai-Nippon was split into Nippon and Asahi breweries, with the Nippon Breweries resuming production of Sapporo beer in 1956 and renaming itself to the present name, Sapporo Breweries, in 1964. Yebisu Beer was relaunched as a separate brand in 1971, marketed as a German-style barley beer. Sapporo Black Label beer was launched in 1977.

In 2006, Sapporo announced that it would be acquiring Canadian brewer Sleeman in a $400-million all-cash deal.

On February 15, 2007, Steel Partners Japan Strategic Fund, a Cayman Islands-registered fund management subsidiary of Warren Lichtenstein's Steel Partners and the biggest shareholder (18.6% as of Feb. 2007) of Sapporo Holdings, submitted a proposal to the company seeking approval to raise its stake to 66.6%.

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