Mergers and acquisitions
Abstract:
The case discusses the takeover of US-based brewer Anheuser-Busch Companies, Inc.(Anheuser ) by Belgium-based brewer InBev SA (InBev). In November 2008, Anheuser accepted InBev's USD$ 52 billion takeover offer after a battle that lasted more than 180 days.
In June 2008, InBev made an offer to acquire Anheuser for $46.3bn, valuing each share at US$65. But the Anheuser Board rejected the offer saying it undervalued the company. The case explores the circumstances that led to Anheuser accepting InBev’s offer and provides a detailed account of the deal.
Issues:
» Understand the issues and challenges in Mergers and Acquisitions, particularly those involving a hostile takeover.
» Analyze the pros and cons of cross-border takeovers.
» Evaluate the takeover of Anheuser Busch and its potential synergies.
» Study the benefits to InBev and Anheuser from the takeover deal.
» Understand the role of acquisition as a growth strategy.
» Examine InBev's inorganic growth strategy.
"By combining with InBev, we have created a first-class international consumer products company and, without a doubt, the premier global brewer. Together, we will achieve our goals far more effectively than either company could on its own." 1
- August A. Busch IV, President and CEO of Anheuser-Busch, 2008.
"We are extremely pleased to announce the closing of this historic transaction. By bringing together these two great businesses, we have created a stronger, more competitive global company with a leading international brand portfolio and distribution network, and great potential for growth all over the world. We look forward to leveraging the operational and cultural strengths of both companies." 2
- Carlos Brito, CEO of Anheuser-Busch InBev, 2008.
Inbev Completes Acquisition of Anheuser-Buschion
In November 2008, Belgium-based brewer InBev SA (InBev) acquired American brewer Anheuser Busch Companies, Inc. (Anheuser) in what was considered to be one of the
The case discusses the takeover of US-based brewer Anheuser-Busch Companies, Inc.(Anheuser ) by Belgium-based brewer InBev SA (InBev). In November 2008, Anheuser accepted InBev's USD$ 52 billion takeover offer after a battle that lasted more than 180 days.
In June 2008, InBev made an offer to acquire Anheuser for $46.3bn, valuing each share at US$65. But the Anheuser Board rejected the offer saying it undervalued the company. The case explores the circumstances that led to Anheuser accepting InBev’s offer and provides a detailed account of the deal.
Issues:
» Understand the issues and challenges in Mergers and Acquisitions, particularly those involving a hostile takeover.
» Analyze the pros and cons of cross-border takeovers.
» Evaluate the takeover of Anheuser Busch and its potential synergies.
» Study the benefits to InBev and Anheuser from the takeover deal.
» Understand the role of acquisition as a growth strategy.
» Examine InBev's inorganic growth strategy.
"By combining with InBev, we have created a first-class international consumer products company and, without a doubt, the premier global brewer. Together, we will achieve our goals far more effectively than either company could on its own." 1
- August A. Busch IV, President and CEO of Anheuser-Busch, 2008.
"We are extremely pleased to announce the closing of this historic transaction. By bringing together these two great businesses, we have created a stronger, more competitive global company with a leading international brand portfolio and distribution network, and great potential for growth all over the world. We look forward to leveraging the operational and cultural strengths of both companies." 2
- Carlos Brito, CEO of Anheuser-Busch InBev, 2008.
Inbev Completes Acquisition of Anheuser-Buschion
In November 2008, Belgium-based brewer InBev SA (InBev) acquired American brewer Anheuser Busch Companies, Inc. (Anheuser) in what was considered to be one of the