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International Breweries said today that it has agreed to explore a merger with Intafact Beverages and Pabod Breweries, according to a statement released on the Nigerian Stock Exchange.

The proposed merger comes months after Anheuser-Busch InBev, the world’s largest beer company, completed its $106 billion acquisition of SAB Miller in October 2016. All three breweries – International Breweries, Intafact Beverages, and Pabod Breweries – were all subsidiaries of SAB Miller.

International Breweries said the proposed merger is expected to generate both revenue and cost synergies, enhanced operational efficiencies, better resource management, and more streamlined operations.

“On receipt of regulatory approvals (including from the Nigerian Stock Exchange and Securities and Exchange Commission), all parties will take further steps to consummate the proposed merger including obtaining the approval of their respective shareholders at separate court-ordered meetings,” the company said. “All three companies . . . will continue to operate as usual until the receipt of required approvals.”

International Breweries is based in Ilesa, Osun State, and manufactures Trophy lager beer; Intafact Beverages is based in Onitsha, Anambra State, producing the popular Hero lager beer; and Pabod Breweries is based in Port Harcourt, Rivers State, with Grand lager beer as its main product.