In an effort to gain approval for a $20 billion merger, Anheuser-Busch InBev says Grupo Modelo will sell its stake in a joint venture that distributes Modelo beer in the U.S.
Read the original post: Beer giants try to salvage merger
The government says merger of two big beer companies would result in higher prices for consumers. But analysts say Anheuser-Busch InBev and Modelo will eventually get the deal done.
View original post here: Beer pong: AB InBev to fight hard for Modelo
Category : Stocks
Despite the steep price tag, analysts back Anheuser-Busch InBev’s (BUD) full acquisition of Grupo Modelo that sent shockwaves across the industry and helps make BUD look like an enticing investment. By adding billion-dollar brands Corona Extra, Modelo Especial, and Victoria – the brewer finds a better synergistic mix than if had followed through with the rumored purchase of SABMiller (SBMRY.PK). In Mexico, A-B effectively boxes out Heineken (HINKY.PK), while divesting its Busch, Busch Light, and Natural Light brands to appease regulators should be painless. 
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