Anheuser Busch InBec close to deal to buy Corona maker Grupo Modelo
Anheuser-Busch InBev is nearing a deal to buy the half of Grupo Modelo it does not already own, according to people briefed on the matter (reports the LA Times), giving the global brewing giant control over the maker of Corona Extra beer.
A deal could cost Anheuser-Busch InBev more than $12 billion, given Modelo’s stock market value of roughly $23 billion. A transaction could be announced as soon as this week, some of these people said, though they cautioned that talks were continuing and could falter.
Negotiations between Anheuser-Busch InBev and Modelo, which is controlled by descendants of the company’s founders, have been difficult at times, one of these people said. Among the issues discussed were price and antitrust clearance.
Should the two sides reach an agreement, it would combine Modelo’s beers with Anheuser-Busch InBev’s huge stable of brands, which includes Budweiser and Stella Artois. The larger company inherited its current 50 percent noncontrolling stake from Anheuser-Busch, which InBev took over in 2008 to become the world’s biggest brewer.
Photo/AlBErto Gottardo / Alberto Gottardo via wikimedia commons
