SAB Miller shareholders meeting in London on 28th September have approved a takeover offer worth £79bn from AB InBev by 95.5%. The Financial Times notes that it is the third largest ‘merger’ in corporate history. It is also the biggest takeover in UK business history. It is due to complete on 10th October
In case you are wondering the product involved here is beer.
It appears that the working name for the new company is Megabrew and the official name will remain AB InBev as SAB Miller hits the slop tray of history.
The company will now sell 1 in 4 beers across the world according to the FT.
The FT reports (1.10) that the motor behind the deal is Brazilian billionaire Jorge Paulo Lemann. He is the largest individual shareholder in AB InBev. He is behind the Brazilian beer brand Brahma but the FT notes the new company will take 45% of world brewing profits.
Capitalism is not prepared however to entirely drink itself and AB InBev are planning $16.5bn worth of disposals to get regulatory approvals around the globe. They have also had to pay $6m for being found to be in violation of the Foreign Corrupt Practices Act in India.
Mine is not a glass of Megabrew thanks