AB InBev has sealed the acquisition of rival SABMiller after submitting an improved deal for the firm, according to a report in Fin24.
The £68 billion ($105 billion) price makes it one of the highest-valued of all time in the consumer goods space.
Following two weeks of negotiation, AB Inbev ultimately offered £44 ($68) per share in cash for a majority of the shares – 46% above SABMiller’s closing value on 15th September 2015 when a bid was first announced – and SABMiller said its board was prepared to recommend it.
The deal comes after an initial decision by the SABMiller board to reject a deal at the proposed price of £42.15 ($65.22) per share, declaring at the time that: “While we can see the potential benefits of a merger between the two companies we believe the public offer from AB Inbev significantly undervalues SABMiller and its long-term potential”.
SABMiller’s two largest shareholders Altria Group and Bevco will receive cash and stock valued at £39.03 ($60.39) a share for their stakes, which account for 41% of the company.
Source: Fin24 / Sky News