Heineken’s Van den Brink to step down as CEO

Dutch brewer Heineken said on Monday its CEO Dolf van den Brink will step down on May 31 after nearly six years of leading the company.

Van den Brink, who took the helm at the world’s No 2 beer maker in the midst of the Covid-19 pandemic in June 2020 and is also chair of its executive board, has agreed to remain available to Heineken as an advisor for eight months, the group added.

The board will initiate a search to appoint a successor to lead Heineken, which makes its namesake lager alongside Tiger and Amstel, the company’s statement said.

Van den Brink and chair of the supervisory board Peter Wennink said now is the right moment for Heineken to appoint new leadership. The company set a new strategy covering the years until 2030 in October.

Heineken has “reached a stage where a transition in leadership will best serve the company in further executing its long-term ambitions”, Van den Brink said in the statement, adding he remains fully focused on executing the strategy until his departure.

Beer sales falling

Van den Brink is the latest in a string of consumer company CEOs to depart after a difficult few years for the sector as consumer finances came under strain from high costs of living.

Brewers have struggled to sell more beer, with hopes of a sales revival repeatedly knocked off course by everything from bad weather to political uncertainty.

Heineken has also faced disruptions in key growth markets, including Nigeria and Vietnam, which have weighed on results.

Investors welcomed Heineken’s strategic update in October, which will see the company make changes including focusing resources on certain brands and markets. However, some told Reuters Heineken needs to prove it can deliver.

Van den Brink arrived “with high expectations, but Heineken has not delivered on them”, RBC Capital Markets analyst James Edwardes Jones said.

“Perhaps this change at the top is what Heineken needs,” he added.

Reuters