SABMiller PLC announced on Tuesday that is has finalized the acquisition of the Foster brand and business in India for $120-million.

The brewer of beers such as Pilsner Urquell and Miller will expand Foster's Lager brand by using its well established national network of breweries. SABMiller is seeking significant cost benefits from brewing and distributing the brand locally, the company said in a statement.

The existing brewery in Maharashtra, India's third largest state, will provide additional capacity in the state as well for brewing and it will serve as a platform for access to Mumbai. SABMiller, a London-based company, is currently the second largest brewer in India.

Foster's Group Ltd, an Australian beverage company announced in August that it will stop its beer production in Asia. Fosters has also sold its business based in Vietnam to Asia Pacific Breweries Ltd. for $105-million.

SABMiller has distribution agreements in over 60 countries and is currently listed on the London and Johannesburg stock exchanges.

India