A-B InBev, SABMiller formalize $107 billion purchase agreement

Photo courtesy of Joe Raedle/Getty Images
Photo courtesy of Joe Raedle/Getty Images

Anheuser-Busch InBev has formally agreed to acquire SABMiller for about $107 billion, combining the world’s No. 1 and No. 2 brewers into behemoth that produces roughly one in every three beers sold worldwide and controls half its industry’s profit.

In order for the deal to get the blessing of regulators, Molson Coors Brewing Co. will pay $12 billion for SABMiller’s 58 percent stake in MillerCoors. That will give Molson Coors control of brands including Coors Light and Blue Moon.

A-B InBev, the Belgian parent company of St. Louis-based Anheuser-Busch, said it plans to cut $1.4 billion in annual costs, with one third of that coming through the elimination of duplicate positions.

The brewers didn’t indicate what the combined entity will be called, or whether SABMiller’s senior management team will remain.

Read more from Bloomberg


Tags:,

Leave a Reply

Have you heard?

Missouri Business Alert is participating in CoMoGives2019!

Find out how we plan to use your gift to enhance training and programming for our students