Heineken is expected to make a move on the Indian beer market after settling a dispute with Bangalore-based tycoon Vijay Mallya.

The parties have been in dispute since April last year, when Heineken inherited a 37% stake in United Breweries, India’s biggest brewery – which is also 37% owned by Mallya.

Mallya sued Heineken and denied the brewer access to UB’s books because it already had an interest in Singapore’s Asia Pacific Breweries, maker of Tiger beer and a major rival of UB.

But now under the agreement Heineken will acquire APB’s Indian operations and roll them into UB.

The arrangement allows Heineken to brew and market its products in India, while Mallya will use the Dutch brewer’s distribution network to market his Kingfisher beer globally.

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Heineken boosts share of UK beer market (29 October 2009)

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