SABMILLER acquired by ANHEUSER-BUSCH INBEV (AB INBEV)

Supported by a cash offer for SABMiller, Anheuser-Busch InBev completed its combination with the British brewer, a transaction carrying a headline an enterprise value of $113.8B. The offer implied an EV/revenue multiple of 5.7x on the target's revenue of . The combination was structured through a Belgian merger under which the former Anheuser-Busch InBev merged into Newbelco, which became the holding company for the combined groups and was renamed Anheuser-Busch InBev, with the former entity dissolved by operation of Belgian law. Shares in the former Anheuser-Busch InBev were expected to be delisted from Euronext Brussels and the Bolsa Mexicana de Valores on 11 October 2016 and from the Johannesburg Stock Exchange on 13 October 2016, while the new ordinary shares were to be admitted to trading on the same markets and the Newbelco ADSs on the New York Stock Exchange. To secure antitrust clearance, Anheuser-Busch InBev agreed to a break-up fee payable to SABMiller if regulators blocked the combination, and undertook disposals within SABMiller's historical perimeter. SABMiller's stake in MillerCoors was sold to Molson Coors, its holding in CR Snow to China Resources Enterprise, and premium brands including Peroni and Grolsch to Asahi Group, followed by a central and eastern European portfolio containing Lech, Pilsner Urquell and Kozel. The agreement with the US Department of Justice prevented Anheuser-Busch InBev from acquiring any further US brewer without prior approval. The rationale centred on access to emerging markets, notably Africa, and on consolidating positions in China.