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Beerworkers Archive


Post date: 09/15/2014 - 17:11

AB-InBev looks for Financing to buy SAB Miller

Anheuser-Busch InBev NV is talking to banks about financing what could be a roughly £75 billion ($122 billion) deal to buy global beer rival SABMiller PLC, according to a person familiar with the matter.

A tie-up between the world's two largest brewing companies has been rumored for years, but a revival in global merger activity this year has sparked renewed speculation about a deal. AB InBev isn't in active discussions with SABMiller, said the person, explaining the company is waiting to line up its financing before making a formal approach.

Anheuser-Busch InBev NV is talking to banks about financing what could be a roughly £75 billion ($122 billion) deal to buy global beer rival SABMiller PLC, according to a person familiar with the matter.

A tie-up between the world's two largest brewing companies has been rumored for years, but a revival in global merger activity this year has sparked renewed speculation about a deal. AB InBev isn't in active discussions with SABMiller, said the person, explaining the company is waiting to line up its financing before making a formal approach.

The talks about financing come on the heels of an approach by SABMiller to buy Dutch brewer Heineken NV, which Heineken said Sunday it had rejected. The U.K. brewer hasn't been discouraged by Heineken's initial rejection and would consider another bid, according to another person familiar with the discussions.

AB InBev had a nearly 20% share of the global beer market in 2013, according to data service Euromonitor. It is trailed by SABMiller, with a 9.6% share, and Heineken, with a 9.3% share.

SABMiller, maker of Foster’s, Peroni and Miller, is interested in Heineken's eponymous beer brand, which it would distribute through its channels in Africa, according to the person familiar with SABMiller's discussions. The person added that pursuit of a deal with Heineken wasn't motivated by a desire to stave off a bid from AB InBev.