By Andy Young

AB InBev is close to lining up the banks it needs to finance its proposed takeover of SABMiller, according to reports from Bloomberg.

The news agency has claimed that a takeover proposal will come as soon as the financing is in place. A number of banks are reportedly keen to be part of the lucrative deal and have offered AB InBev more than US$50 billion of debt in order to make the takeover.

As news of the takeover gathered momentum at the end of last week, it has also been reported that AB InBev approached Altria about the move. Cigarette manufacturer Altria also owns around 27 per cent of SABMiller and told AB InBev that it was "open to considering a proposal” depending on the terms.

All three parties, Altria, AB InBev and SABMiller, declined to comment on the Bloomberg report.

As expected in a deal which would see the world's two largest brewers join together, interest is growing and analysts have suggested that AB InBev would have to pay between GBP40-45 per SABMiller share. According to Reuters that share valuation would put the overall price for AB InBev of around US$130 billion, including SABMiller's debt.

The Shout Team

The leading online news service for Australia's beer, wine, spirits and hospitality industries.

Leave a comment

Your email address will not be published. Required fields are marked *