SABMiller’s Mysore Breweries has joined forces with India’s second-largest brewer Shaw Wallace to create a “powerful new force” in Indian brewing.

Under the deal Mysore will hold a 50% stake in a company called Shaw Wallace Breweries, which will hold the combined brewing interests and licences of the two businesses.

SABMiller paid $132.8m for the investment in Shaw Wallace Breweries.

The Indian beer market is growing at 11% per year according to SABMiller.