The world’s top brewer Anheuser-Busch InBev raised its offer for rival SAB Miller on Tuesday after a major slump by the British pound due to the Brexit vote threw the blockbuster deal into doubt. This reduced the attractiveness of the November offer for SABMiller shareholders.
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In a statement, the Belgium-based brewer of Budweiser and Stella Artois said it raised the cash offer from 44 pounds per share to 45 pounds in what was its final proposal.
SABMiller shareholders can also choose to take a partial share alternative of 0.483969 restricted shares and 4.6588 pounds in cash.
By raising the offer, the world’s biggest brewer addressed concerns from investors including Elliott Management and Davidson Kempner Capital Management that the deal was less attractive in the wake of the pound’s fall.
The deal still faces several regulatory hurdles, but the firms were given the green light from the European Commission in May, on the condition that “practically the entire SABMiller beer business in Europe” is sold off.
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AB InBev, the world’s biggest brewer, agreed to buy SABMiller, the world’s second biggest brewer, past year after a fraught series of negotiations. There was no discussion or agreement about the terms of today’s Revised Offer.
