The sale of Pilsner Urquell, Gambrinus and Kozel just got more expensive.
By BOHEMIST STAFF
PRAGUE – Beverage behemoth Anheuser-Busch InBev (AB InBev) has revised its takeover offer of SABMiller, who own a family of popular Czech beers including Pilsner Urquell, up to £79 billion (US$103.8 billion), following the sudden depreciation of the pound stemming from Britain’s Brexit vote last month.
According to a statement issued today by SABMiller, the revised offer comprises an offer of £45.00 (about $59) per share, £1 higher than the last cash offer. In November, when the original bid was officially launched, it was worth around £70 billion, or what was then estimated to be around $106 billion based when the exchange rate favored the sterling.
AB InBev, maker of such brands as Budweiser and Stella Artois, is attempting to sell the entire European wing of SABMiller – including Pilsner Urquell, Gambrinus and Kozel – in an effort to ease antitrust approval for the takeover, which is expected to happen in September. SABMIller is the Czech Republic’s largest beer maker with 43% of the total market share.
The high profile list of brands is reportedly drawing a number of potential suitors including private equity fund Advent, who raised $13 billion for its latest fund in March.
Still, some investors have voice displeasure at original deal, saying that it would largely stand to benefit two of SABMiller’s largest shareholders.
“The Board will continue to consult with shareholders and will meet in due course formally to review, having regard to all facts and circumstances, the Revised Offer and a further announcement will be made thereafter,” SABMiller said in today’s statement.
On Thursday, SABMiller reported that net revenue in the Czech Republic and Slovakia grew by 12% with equal growth in beverage volume thanks in part to a softer prior year quarter. Among the domestically brewed beers, the firm acknowledged strong growth for the Kozel and Pilsner Urquell brands, while Gambrinus turned in a subdued performance.