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Reuters – Carlsberg and Heineken on Friday agreed a joint cash bid of 800 pence a share for Scottish and Newcastle (S&N) that will split up the British brewer of Foster's and Kronenbourg.

Denmark's Carlsberg and Amsterdam-based Heineken said they had agreed a deal recommended by S&N which valued Britain's biggest brewer and the world's sixth-largest beermaker at 7.8 billion pounds ($15.3 billion).

The bidders say the approval of the European Commission and other competition authorities will be required and it's expected the deal will be completed in the second quarter.

S&N and Carlsberg have agreed to release projected information for their 50-50 Russia-based joint venture Baltic Beverages Holding (BBH) for 2008 through 2010, which had been a sticking point in the three-month long takeover saga.

Under the proposed breakup plan, Carlsberg will acquire S&N's 50% stake in BBH to give the Danish brewer full control of this Baltika brewer in the former Soviet Union, and also S&N's interests in France, Greece, China and Vietnam.

Heineken will take over S&N's British business, which includes Strongbow cider and John Smith's beer, along with its operations in other European markets such as Belgium, Portugal, Ireland – plus its US and Indian businesses.

"In a single step, we have created the world's fastest-growing global brewer," said Carlsberg Chief Executive Jorgen Buhl Rasmussen in a statement. "We now have full control of our destiny in Russia and other BBH territories."

No final S&N dividend for 2007 will be paid.