Sector News

AB InBev to sell stake in Russian joint venture, faces $1.1bn hit

April 24, 2022
Consumer Packaged Goods

AB InBev has announced that it plans to sell its non-controlling stake in its Russian joint venture AB InBev Efes.

The company is looking to divest the interest to its joint venture partner, Turkish brewer Anadolu Efes, and says that active discussions are underway.

AB InBev says it will report a $1.1 billion impairment charge in its first-quarter results as a repercussion of the sale.

According to Reuters, AB InBev has a 24% stake in Anadolu Efes. The companies formed the AB InBev Efes joint venture in 2018, combining their respective Russian and Ukrainian businesses.

AB InBev said in a statement: “Together with its partner, AB InBev continues to support its employees, their families and the humanitarian relief efforts in Ukraine. Support for its displaced employees and their families includes counselling, housing and financial support.”

The statement continued: “In addition to donating to NGOs and the relief organisation Caritas, AB InBev is working in partnership with them, other companies and local NGOs to provide food, blankets, medical supplies and 3 million cans of emergency drinking water to Ukraine and surrounding refugee relief areas.”

AB InBev’s decision to sell its stake in the Russian joint venture comes after similar moves from rivals Carlsberg and Heineken, which have also exited businesses in Russia.

By Lauren Ford

Source: foodbev.com

comments closed

Related News

June 22, 2024

Britvic rejects $3.9bn takeover bid from Carlsberg

Consumer Packaged Goods

UK soft drink manufacturer Britvic has rejected a $3.95 billion takeover bid from Danish brewer Carlsberg. The Britvic board turned down a proposal worth 1,250 pence a share from the beer giant last week (11 June), following a previous offer (7 June) at 1,200 pence. The proposal positioned Britvic at an implied enterprise value multiple of 13.1x Britvic’s adjusted EBITDA of £302 million.

June 22, 2024

Tate & Lyle to acquire CP Kelco for US$1.8bn to form global specialty F&B giant

Consumer Packaged Goods

Tate & Lyle has agreed to acquire the entire issued share capital of CP Kelco, a leading provider of pectin, specialty gums and other nature-based ingredients, from J.M. Huber, for a total implied consideration of US$1.8 billion.

June 22, 2024

McDonald’s pulls plug on AI drive-through ordering after mishaps go viral

Consumer Packaged Goods

In one viral TikTok video, a customer recorded ordering caramel ice cream, but the AI-powered system filled the cup with stacks of butter instead. Another similar video showed the AI adding over a hundred orders of chicken nuggets to an order. A different customer received an ice cream topped with bacon.

How can we help you?

We're easy to reach