Japanese brewer Asahi Group Holdings said Wednesday it would sell its 19.99-percent stake in Tsingtao to the Chinese brewer itself and to Fosun Group.
Fosun will pay $847 million to purchase about 90 percent of some 270 million shares held by the Japanese group, Asahi said in a statement.
Tsingtao separately will buy the remainder for HK$735 million (US$93.94 million).
The deals were reached separately on Wednesday but the two investors will both pay HK$27.22 per share, the Japanese firm said in a statement.
"We have been reviewing our investments in Chinese beer operations. As a result, we have decided" to sell the Tsingtao shares to the two investors, Asahi said.
Japanese beverage makers have aggressively bought foreign rivals in recent years in a bid to stay competitive as the domestic market shrinks. The trend is accelerated by young people increasingly staying away from alcohol.
Asahi bought the stake in 2009 as it looked to expand into the mainland Chinese market.