Nepali industrialist Raj Bahadur Shah acquires 15% stake in Gorkha Brewery at premium valuation

KATHMANDU: In a significant development in Nepal’s corporate and beverage industry, industrialist Raj Bahadur Shah has acquired a 15 percent stake in Gorkha Brewery, marking the entry of a major domestic business group into a company previously fully controlled by global brewing giant Carlsberg Group.

According to high-level sources closed to, Shah—who leads the Jawalakhel Group of Industries—has reached an agreement with existing shareholders to purchase the stake at a premium valuation. While the exact premium price remains undisclosed, the deal signals strong investor confidence in the long-term profitability and brand strength of Gorkha Brewery.

Strategic Domestic Entry into a Multinational-Dominated Company

Gorkha Brewery currently has an estimated paid-up capital of around Rs 1.30 billion, placing the value of the 15 percent stake in a substantial range, especially with the premium component factored in. The transaction effectively reintroduces Nepali ownership into the company, which had recently become almost entirely foreign-owned.

Industry insiders say the entry of Shah’s group is strategically significant, as it brings together a globally recognized beer manufacturer and one of Nepal’s most established domestic liquor producers.

“Gorkha Brewery is already a strong brand, and Jawalakhel Group has deep roots in Nepal’s alcoholic beverage market. This partnership can create operational and distribution synergies,” a source familiar with the deal said.

Complementary Strengths in Nepal’s Beverage Market

Gorkha Brewery is best known for producing internationally recognized beer brands such as Carlsberg and Tuborg, both of which dominate Nepal’s premium beer segment.

On the other hand, Jawalakhel Group operates a wide portfolio of alcoholic beverages, including whisky and vodka, with more than 21 brands currently in production. The group has built a strong domestic distribution network and brand presence over decades.

Market analysts believe that Shah’s entry could enhance local market penetration, diversify product strategies, and strengthen supply chain integration within Nepal’s growing beverage sector.

From Full Foreign Ownership to Strategic Local Partnership

The deal comes less than a year after Carlsberg consolidated near-total ownership of Gorkha Brewery by acquiring the remaining stake from Nepali business tycoon C.P. Khetan.

That landmark transaction—valued at approximately USD 744 million (around Rs 100 billion)—was one of the largest corporate share deals in Nepal’s history. It followed an independent valuation conducted through an arbitration process in Singapore, after which Carlsberg exercised its right to acquire the shares held by Khetan’s offshore entity.

With that acquisition, Carlsberg secured 99.94 percent ownership of Gorkha Brewery and full control over its regional operations, including its interests linked to India.

The latest entry of Raj Bahadur Shah, therefore, represents a notable shift—bringing back domestic participation into a company that had become a fully multinational-controlled entity.

Tax Profile and Industrial Credibility

Shah and his family, including his father Vijay Bahadur Shah, are recognized among Nepal’s highest taxpayers and have received multiple honors from the government for their contributions.

Their involvement is expected to enhance investor confidence and reinforce the company’s local credibility, especially at a time when Nepal is seeking to balance foreign investment with domestic industrial participation.

Implications for Nepal’s Corporate Landscape

The transaction reflects a broader trend of strategic partnerships between multinational corporations and established Nepali business houses. It also highlights increasing valuation benchmarks in Nepal’s corporate sector, particularly in consumer goods and beverage industries.

For Carlsberg, the move could strengthen local alignment and market responsiveness. For Shah’s Jawalakhel Group, it represents a high-value entry into Nepal’s dominant beer segment—potentially reshaping competitive dynamics in the alcoholic beverage market.

The premium valuation attached to the deal further indicates strong growth expectations in Nepal’s beer industry, driven by rising urban consumption, tourism recovery, and evolving consumer preferences.