InBev finally buys maker of Budweiser
American brewing giant AnheuserBusch yesterday succumbed to a $52bn (£26bn) takeover bid from InBev, creating the world’s largest brewer and ending a month of acrimony between the two firms.
InBev increased its offer for the maker of Budweiser to $70 a share, up from its original bid of $65 a share, marking a premium of 33 per cent on Anheuser’s pre-bid stock price. The take over is being funded with $45bn debt in bank loans, while a further $9.8bn will be raised by issuing new shares in the firm.
Anheuser-Busch InBev, as the brewer will be known, will brew 21 per cent of the world’s beer and boast global sales of $36.4bn. InBev offered a premium because it wants the Budweiser brand to help it push into emerging markets in Asia and Latin America, said Carlos Brito, chief executive.
“We’re very excited about this. Like MacDonald’s, Pepsi and Coca-Cola, Budweiser is a global brand. It’s America in a bottle,” Brito said.
August Busch IV, currently chief executive Anheuser, will step back from his executive role, taking a seat as a director on the board of InBev. An agreement for financial compensation has not been finalised.
