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Anheuser- Busch has accepted a  $52 billion takeover bid from Belgium-based InBev, creating the world's largest beer maker.

Ending a month-long standoff, InBev, which makes Stella Artois and Beck's, agreed to pay $70 per share in cash for the maker of Budweiser, up from its original unsolicited bid of $65 per share, both companies said on Monday.

Anheuser-Busch InBev will have $36.4 billion in annual net sales, with 40 per cent coming from the United States, and will brew about a quarter of the world's beer, according to Reuters.

InBev Chief Executive Carlos Brito will be CEO of the merged companies, while Anheuser will hold two seats on its board. One will go to Anheuser CEO August Busch IV, who will have no executive or managerial responsibilities, while the other has yet to be named.

Brito told a conference call the strengths of the deal lie in acquiring Anheuser's near 50 percent share of the U.S. market and in taking its Budweiser brand global.

"It's all about complementarity and not overlap," he said.

Anheuser's home town of St. Louis, Missouri will be the headquarters for the North American region. The companies said all 12 of Anheuser's U.S. breweries would remain open.

The deal brings an amicable resolution to a month-long saga that was becoming increasingly hostile as the companies traded lawsuits and InBev set the stage to replace Anheuser's board.

Carlos Brito, CEO of InBev, said, “We are very pleased to announce this historic transaction today, bringing together two great companies that share a rich history of brewing traditions.

"We are extremely excited about the opportunities that this combination will create for

consumers worldwide, as well as our shareholders, employees, business partners and

wholesalers.

"Together, Anheuser-Busch and InBev will be able to accomplish much more than each can on its own. We have been successful business partners for quite some time, and this is the natural next step for us in an increasingly competitive global environment.

"This combination will create a stronger, more competitive global company with an unrivalled worldwide brand portfolio and distribution network, with great potential for growth all over the world.”

August Busch IV, Anheuser-Busch President and CEO, stated:

“Today’s announcement brings new opportunities for Anheuser-Busch and its business, brands and employees. This agreement provides additional and certain value for Anheuser-Busch shareholders, while enhancing global market access for Budweiser, one of America’s true iconic brands. We will leverage our collective strengths to create a truly diversified, global company to sustain long-term growth and profitability.

"In the United States and Canada, both InBev and Anheuser-Busch have seen significant benefits from our existing relationship and we look forward to replicating this success in other parts of the world.”

From: NIGHT Online

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