HVB Group, the German banking group, is holding negotiations with Interbrew and Scottish & Newcastle (S&N) regarding the sale of its 55% stake in German brewery, Brau und Brunnen, the German media reported. “While the brewer may eventually sell its stake in Brau und Brunnen, it had no concrete and immediate plans to do so at the moment,” a source told Dow Jones Newswires.

It was reported that HVB's CEO, Dieter Rampl, had said on Thursday that all of the bank's units and holdings are under review for possible sale.

Brau und Brunnen spokesman, Udo Dewies, referred to the reports as rumour, adding that the brewer would have a say in who might eventually buy the stake. "If HVB were to be in talks to sell, then our CEO would certainly be on board," he said.

Brau und Brunnen has around a 7% share of the German beer market. The company's shares have risen by as much as 20% over the past few days.

01 April, 2003