Interbrew has won the battle to buy the German beer brand, Beck's, from its parent company, Brauerei Beck and Co.

The £1.1bn deal comes as the 'world's local brewer' enters the final stages of discussions with the Office of Fair Trading over the controversial acquisition of the Bass Brewers business for £2.3bn last year.

Belgian giant Interbrew is believed to have beaten UK rival Scottish and Newcastle (S&N) to the business, but will now form a link with S&N, the distributor of Beck's in the UK.

Chief executive of Interbrew, Hugo Powell, says Beck's provides an excellent fit to the company's strategy: It is a unique premium brand, well position in Germany and internationally and offers superior volume and value growth potential. We look forward to welcoming its management and employees into the Interbrew family.