Anheuser-Busch InBev said it is planning to sell up to $55 billion in bonds to finance its $106 billion merger with SABMiller. This would be a record amount of debt to fund an acquisition.
A-B InBev, the Belgian parent company of St. Louis-based Anheuser-Busch, has arranged approximately $70 billion from seven different banks to finance the deal. The company said the bonds will be issued in different currencies and will have several different maturities. The company will finance the remaining amount through term loans.
The bond sale would surpass Verizon’s $49 billion sale in 2013 as the largest to fund a buyout. The sale could be delayed if regulatory agencies don’t approve it. The companies may also be required to sell assets as part of the merger. That would decrease the amount of financing needed to complete the merger.