Anheuser-Busch agrees to takeover by InBev
The Belgian beer company is set to be the world’s largest brewer following the takeover of USD 52 billion.14 July 2008
BRUSSELS / NEW YORK - US brewer Anheuser-Busch has agreed to a takeover by Belgium's InBev, creating the world's largest brewer, the Belgian company said Monday in a statement on its website.
Both companies had agreed on a price of USD 52 billion, or about USD 70 per share, said InBev, producer of brands like Stella Artois and Beck's.
"This agreement provides additional and certain value for Anheuser-Busch shareholders, while enhancing global market access for Budweiser, one of America's true iconic brands," Anheuser-Busch President and CEO August Busch VI was quoted as saying in the statement.
The deal has still to be approved by shareholders and competition authorities. The deal to create Anheuser-Busch InBev is expected to be completed by the end of 2008.
Anheuser-Busch initially spurned the offer until the Belgian suitor increased the premium it will play for the US company, which is based in St Louis, Missouri.
The new conglomerate has a combined global market share of about 25 percent.
Anheuser-Busch, the second-largest consumer-goods company in the US, had previously resisted the takeover offer. It rejected InBev's original offer of USD 65 per share as too low.
According to news reports, InBev increased its offer to USD 70 on Friday.
Anheuser-Busch InBev will be headed by InBev CEO Carlos Brito. St Louis is to become the company's North American headquarters.
[dpa / Expatica]