They have beaten off competition from rival brewers Young's and Fullers, the maker of London 2012, to win the right to be a Tier Three sponsor, Marketing magazine reported.

Heineken will have pouring rights to the hospitality outlets at the London 2012 outlets and also have the marketing rights to the Olympics and Paralympics.

London 2012 are expected to confirm the deal within the next two weeks, insidethegames understands.

Heineken spent £34 million ($54 million) on sponsoring the Athens Olympics in 2004 and is a long-time backer of "Holland Heineken House".

It was announced last month that Alexandra Palace had been chosen by the Dutch Olympic Committee to be the location for "Heineken House" during London 2012.

London 2012 had held preliminary discussions three years ago with Diageo - whose brands include Smirnoff, Guinness, Johnnie Walker and a host of others – to become a controversial sponsor aimed at promoting responsible drinking.

But the plan was dropped amid fears that it would attract too much criticism.

Heineken is already a major backer of sports, including sponsoring the UEFA Champions League and rugby union's Heineken Cup. 

London 2012 refused to comment.

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