Heineken to Buy Distell for $2.5 Billion in Africa Expansion (3)

Heineken NV agreed to buy South African wine and spirits maker Distell Group Holdings Ltd.for 2.2 billion euros ($2.5 billion), creating a new regional group to compete with larger rival Anheuser-Busch InBev SA and spirits giant Diageo Plc.

The Dutch brewer made an offer of 180 rand a share that’s been recommended by Distell’s board, according to a statement on Monday. Heineken will also look to buy a majority stake in the owner of Namibia Breweries Ltd., a regional partner, the company said.

The result will be a Heineken majority-owned entity with a total valuation of about ...