Anheuser-Busch InBev to buy remaining Modelo stake for $20.1 bn
29 June 2012
Anheuser-Busch InBev, today agreed to buy the remaining 50 per cent stake that it does not already own in Mexican Corona beer maker Grupo Modelo for $20.1 billion, as the global beer industry moves into the final stages of consolidation.
The owner of Budweiser and Stella Artois beers has offered to pay $9.15 per share in cash, a premium of around 30 per cent to the 22 June 2012 closing price of Grupo Modelo's series C shares.
Anheuser-Busch InBev holds a 50-per cent non-controlling stake in Modelo, but has 43.9 per cent of Modelo's voting shares, while the rest is held by the descendants of Modelo's founder and other closely-tied Mexican families in a trust.
Anheuser-Busch InBev inherited the stake through its $52-billion acquisition of US brewer Anheuser-Busch in 2008 by Belgium-based InBev NV. (See: InBev acquires Anheuser-Busch for $52 billion; Budweiser to be flagship brand)
Under the deal, Diblo, S.A. de C.V., the holding company for Grupo Modelo's operating subsidiaries, and Direccion de Fabricas (DIFA), S.A. de C.V., a glass bottle manufacturer in Mexico with output largely dedicated to Grupo Modelo, will merge into parent Grupo Modelo for newly issued Grupo Modelo shares.
Post merger of Diblo and DIFA, Anheuser-Busch InBev will commence an all-cash tender offer for all of the outstanding shares it does not already own in Grupo Modelo for $20.1 billion.