Sector News

Argentina approves AB Inbev plan for post-merger beer divestments

March 16, 2018
Food & Drink

Argentina’s production ministry said on Wednesday it had approved a proposal from brewer Anheuser Busch InBev NV to divest seven of its brands in the country as a condition for its 2016 takeover of SAB Miller.

The $100 billion-plus takeover, which won overwhelming backing from SAB Miller shareholders in 2016, was met with similar conditions by antitrust regulators elsewhere, including the United States and Europe.

As part of the proposal from AB Inbev and Chilean brewer CCU CCU.SN, which has operations in Argentina, AB Inbev would transfer the Isenbeck, Diosa, Norte, Iguana and Baltica brands, as well as the licenses to Warsteiner and Grolsch, to CCU.

In turn, CCU would give the Argentina rights to the Budweiser brand to AB Inbev – which markets the brand globally – in exchange for a payment of up to $400 million over three years.

CCU said in a statement in September it had agreed to cede Budweiser rights to Ambev in exchange for an expected $306 million payment.

The proposal was spurred by an analysis into the SAB Miller deal by the National Competition Defence Commission.

Without the conditions, AB Inbev would have controlled 85 percent of Argentina’s beer market, the production ministry said. AB Inbev also controls Quilmes, the South American country’s most popular brand of beer.

By Luc Cohen;

Source: Reuters

comments closed

Related News

January 29, 2023

Danone appoints three new deputy CEOs

Food & Drink

Danone has appointed three deputy CEOs to “better connect categories and regions” and drive the delivery of its ‘Renew Danone’ strategy. The new appointees are Veronique Penchienati-Bosetta, Shane Grant and Juergen Esser. They will report to Danone CEO Antoine de Saint-Affrique.

January 29, 2023

PepsiCo Portugal invests €7.5m in biodigester

Food & Drink

PepsiCo Portugal has announced that it will invest €7.5 million to construct a new biodigester, which will turn organic waste into biogas. As well as helping its Carregado facility to achieve a 30% reduction in carbon emissions, the biodigester will also contribute to reducing gas consumption, allowing the installation to use the biogas produced during the anaerobic digestion process.

January 29, 2023

Kerry’s fellowship with Upcycled Food Foundation explores future of food waste prevention

Food & Drink

Kerry is sponsoring The Kerry Upcycled Food Foundation Fellowship in a new partnership with the Upcycled Food Foundation (UFF), the non-profit subsidiary of the Upcycled Food Association (UFA). The research fellowship is the second initiated by the UFF and will work toward advancing the understanding of the market, consumer perception and technical opportunities of upcycled food.

How can we help you?

We're easy to reach