Kirin stock leaps on Suntory merger talk

TOKYO: Japanese brewer Suntory Holdings Ltd said yesterday it was considering a merger with larger rival Kirin Holdings Co, a deal that would create one of the world's largest beverage and food firms.

The news sent shares of Kirin soaring 8.4 percent to a nine-month high, and lifted shares of other brewers amid speculation that a deal would trigger consolidation in the sector.

A merger would put Kirin and unlisted Suntory on par in revenue terms with US-based Kraft Foods and Pepsico Inc, and help the two gain clout in Japan's mature market.