Foster's Group Limited intends to pursue a demerger of its beer and wine divisions to create separately listed businesses.

In a statement to the ASX, Foster chief executive Ian Johnston said the company is seeing the benefits of operationally separating its beer and wine businesses, citing that the beer and wine businesses operate in separate market segments with different strategic and operating characteristics.

Foster's Group said, "Potential benefits for the demerger proposal include increased transparency allowing investors to more appropriately value each business over time, greater investment choice; and flexibility for separate bonds and management of Beer and Wine to develop their own corporate strategies and implement capital structures and financial policies appropriate to their business."

The demerger proposal is subject to all regulatory and statutory approval and is likely to be implemented in the first half of 2011 at the earliest. It is expected to result in savings of at least $100 million per year from fiscal 2011.

"We will proceed as quickly as possible, but priority will be given to ensuring that all relevant matters are carefully and rigorously examined with the intention of continuing to grow our businesses and minimising disruption to our customers, employees, suppliers and other stakeholders," Foster said.

Foster's Group reported a profit of $438.3 million for the 2009 financial year.