Professional Documents
Culture Documents
a. Companies
- SABMiller: (South African Breweries - Miller) was a British-South African
company that emerged from the merger of South African Breweries,
Miller Brewing in 2002 and Bavaria S.A. in 2005. It was the second largest
brewer by volume in the world after InBev.
The company dominated the markets of Africa, North America, Eastern
Europe and South America. It also acquired part of Industrias La
Constancia of El Salvador, the Cervercería Hondureña in Honduras, the
Dutch brewery Royal Grolsch and CASA (Cerveceria Argentina Sociedad
Anónima)
II. Acquisition
a. Stock: NEWBWLCO, is the new ticket that the AB Inveb will take after the
adquisiton of SAB Miller. In the graph we can see that the stock fall around
10 percent, this is because the dilution that was generated for the acquisition
of SAB Miller, with some percentage of stock. This stock is traded in London
stock exchange. small SABMiller shareholders challenged the value of the
cash they’d receive in exchange for their shares, causing AB InBev to raise its
offer to reflect the fallen post-Brexit pound
b. NOW DAYS: Because the merger combines the world’s two leading beer
companies, shareholders had to agree with courts around the world to spin
off many popular beer brands before proceeding. In the U.S., SABMiller sold
its 50% voting interest and 58% economic interest in MillerCoors to Molson
Coors, its partner in the joint venture, for around $12 billion. In China, AB
InBev sold SABMiller’s 49% in its joint venture called CR Snow, with China
Resources Enterprise, which has a leading >20% volume share in the
country’s beer market, for $1.6 billion. And in Europe, AB InBev sold certain
of SABMiller’s premium European brands including the Peroni and Grolsch
brands, and related businesses, to the Asahi Group for ~$2.9 billion, and then
agreed to sell a group of SABMiller’s Central and Eastern European brands
for around $7.8 billion to the Asahi Group. Though the merged company will
divest itself of many brands in order to comply with anti-trust laws, the deal
brings AB InBev a much larger presence in developing countries and
continents like China, South America and Africa, where SABMiller enjoys
much stronger holdings and access to markets.