The acquisition has been done through SABMiller's Indian subsidiary, Mysore Breweries for an undisclosed sum.
With the acquisition of the 50 per cent stake, Mysore Breweries now controls 99 per cent stake in the joint venture, which was formed in 2003 with the rest of shares held by third party minority investors.
The acquisition is a part of SABMiller's consolidation strategy in the Indian beer market.
"Beer consumption in India remains around 1 litre per person per year as against 20 litres in comparable developing markets. With the GDP growing over 6 per cent, India has the economic potential to be a leading beer market and SABMiller is well placed to benefit from this growth," Andre Parker, managing director, SABMiller Africa and Asia said in a statement from Johannesburg.
SABMiller had invested US $132.8 million for its stake in the 50:50 joint venture with the Shaw Wallace Group.
SBW's brewing operations comprise 10 breweries which supply across India brands, including Hayward's 5000, Royal Challenge premium Lager, Knock Out and Castle Lager.
