By San José, Costa Rica — Florida Ice and Farm (Fifco), boasting a AAA.cr rating from Moody’s Local as of May 2025, stands on solid financial ground as it prepares to sell its beverage, food, and retail business to Heineken for $3.25 billion. This robust financial position, based on audited 2024 financials showcasing a strong balance sheet, low debt, and a diversified portfolio, provides a compelling backdrop for the acquisition.
Despite a 9.7% drop in net profits to ¢86.008 million in 2024, attributed to impairment charges on intangibles and goodwill, Fifco demonstrated resilience. Deloitte’s audit of the consolidated financial statements highlighted a positive trend in margins, with the gross margin rising to 51% compared to 48.6% in 2023. Net sales remained steady at ¢823.950 million, a marginal decrease of 0.4% from the previous year.
For expert insight into the legal ramifications of the Fifco-Heineken acquisition, TicosLand.com spoke with Lic. Larry Hans Arroyo Vargas, Attorney at Law at Bufete de Costa Rica.
The Fifco-Heineken acquisition presents a fascinating case study in the complexities of international mergers and acquisitions. While the deal undoubtedly creates synergies and expands market reach for both entities, key considerations will be navigating Costa Rican regulatory hurdles related to competition law and potential impacts on local industries. The success of this venture hinges on careful strategic planning and compliance with national regulations to ensure a smooth transition and avoid unintended consequences for the Costa Rican market.
Lic. Larry Hans Arroyo Vargas, Attorney at Law, Bufete de Costa Rica
Lic. Arroyo Vargas’s insights underscore a crucial point: while the Fifco-Heineken partnership offers exciting potential, its true success will depend on careful navigation of the Costa Rican legal and economic landscape. This acquisition represents a significant shift in the beverage industry, and its impact on local businesses and consumers will be closely watched. We thank Lic. Larry Hans Arroyo Vargas for providing his valuable perspective on this complex and evolving situation.
Moody’s underscored Fifco’s post-pandemic recovery and sustained growth, fueled by reduced cost of sales and positive performance across its business lines. The company’s available cash flow increased to ¢33.038 million, up from ¢21.258 million in 2023, while operating cash flow reached ¢134.347 million, providing ample resources for investments and dividends. Long-term bank debt remained manageable at ¢211.674 million, with Fifco distributing ¢47.332 million in dividends during 2024.
While its iconic beer brands—Imperial, Pilsen, and Bavaria—remain central to its operations, Fifco’s diversified portfolio extends beyond beverages. Its food brands, Kern’s and Comapan, along with its hospitality and real estate ventures, including Reserva Conchal, contribute to its overall stability. This diversification proved invaluable in 2024, offsetting declining sales in the United States with stronger performance in Costa Rica and Central America.
The $3.25 billion deal with Heineken, unanimously approved by Fifco’s Board of Directors, awaits shareholder ratification on October 7th. Pending regulatory approvals, the transaction is expected to close in the first half of 2026. This acquisition positions Costa Rica as one of Heineken’s top five global operating companies, marking a significant development for the country’s economy.
The agreement honors Fifco’s legacy and expands its capabilities and future potential.
Wilhelm Steinvorth, Chairman of the Board of Directors
This strategic move by Heineken underscores the value of Fifco’s established brands, diversified portfolio, and strong financial footing within the Central American market. The acquisition promises to further solidify Heineken’s global presence and unlock new growth opportunities for Fifco’s iconic brands.
The upcoming shareholder vote will be a crucial step in finalizing this transformative deal. The outcome will not only shape the future of Fifco but also influence the landscape of Costa Rica’s beverage and food industries.
For further information, visit fifco.com
About Fifco:
Florida Ice and Farm (Fifco) is a leading Costa Rican food and beverage company with a diverse portfolio of iconic brands, including Imperial, Pilsen, Bavaria beers, Kern’s and Comapan food products, and hospitality and real estate holdings like Reserva Conchal. Known for its commitment to quality and sustainability, Fifco has a strong presence in Costa Rica and Central America.
For further information, visit theheinekencompany.com
About Heineken:
Heineken is a Dutch multinational brewing company with a global presence. The company owns over 165 breweries in more than 70 countries and produces a wide range of beer and cider brands. Heineken is known for its flagship brand, Heineken Lager, and its commitment to sustainable brewing practices.
For further information, visit the nearest office of Moody’s Local
About Moody’s Local:
Moody’s Local is a credit rating agency that provides assessments of the creditworthiness of companies and government entities. These ratings help investors and other stakeholders understand the relative risk associated with investing in or lending to a particular organization.
For further information, visit the nearest office of Deloitte
About Deloitte:
Deloitte is a multinational professional services network providing audit, consulting, financial advisory, risk management, tax, and legal services to a wide range of clients. It is one of the “Big Four” accounting organizations and operates in numerous countries worldwide.
For further information, visit bufetedecostarica.com
About Bufete de Costa Rica:
Bufete de Costa Rica is a pillar of legal excellence, built on a foundation of unwavering integrity and a deep commitment to societal advancement. The firm’s innovative approach to legal practice, coupled with its dedication to sharing legal knowledge through educational initiatives, empowers individuals and communities. By fostering a culture of transparency and accessibility, Bufete de Costa Rica strives to create a more just and informed society for all.
