Subscribe & Follow

Advertise your job vacancies

China conditionally approves AB InBev-SABMiller merger

29 Jul 2016

BEIJING, CHINA: Chinese regulatory authorities conditionally approved brewer Anheuser-Busch InBev's giant takeover of SABMiller on Friday, 29 July 2016, clearing one of the last major hurdles for the $103 billion deal to go ahead.

China conditionally approves AB InBev-SABMiller merger

The commerce ministry "decided to approve" the sale on condition that SABMiller's own stake in China's biggest brewery was disposed of, its anti-monopoly bureau said in a statement on its website - a transaction which has already been agreed.

The takeover has previously been approved by regulators in the US, European Union and South Africa, where SABMiller has its origins.

AB InBev has agreed to a series of concessions to win the authorities' green lights, including selling SABMiller's 49% stake in Snow Breweries, China's biggest beermaker.

The anti-monopoly bureau said the sale - to a unit of China Resources, SABMiller's local partner - had to go through within 24 hours of the overall merger.

Otherwise, it said, the deal "would have the effect of eliminating and restricting competition, and ultimately would harm the interests of Chinese consumers".

AB InBev is already the world's top brewer and the SABMiller acquisition is in line to be the third largest in history if it goes through.

The Belgium-based brewer of Budweiser and Stella Artois this week raised its offer for SABMiller to £45 a share, after sterling slumped following Britain's Brexit vote, cutting the value of the deal to global investors when measured in other currencies and triggering shareholder resistance.

The new offer values the London-headquartered firm at £79 billion ($104 billion), and the deal is expected to boost the unified firms' prospects in developing markets in Africa and China.

Source: AFP via I-Net Bridge

Source: I-Net Bridge

For more than two decades, I-Net Bridge has been one of South Africa’s preferred electronic providers of innovative solutions, data of the highest calibre, reliable platforms and excellent supporting systems. Our products include workstations, web applications and data feeds packaged with in-depth news and powerful analytical tools empowering clients to make meaningful decisions.

We pride ourselves on our wide variety of in-house skills, encompassing multiple platforms and applications. These skills enable us to not only function as a first class facility, but also design, implement and support all our client needs at a level that confirms I-Net Bridge a leader in its field.

Go to: http://www.inet.co.za