"SABMiller PLC on Tuesday said a U.K. court had agreed to its proposal that its two largest shareholders be treated as a separate class from the rest of its investors with regard to its pending acquisition by Anheuser-Busch InBev NV," according to the
Wall Street Journal (Aug. 23, Chaudhuri). In July, AB InBev raised its offer for SABMiller from £44 a share to £45 a share in order to head off a possible shareholder revolt following a decline in the British pound following the nation's vote to exit the European Union. After some deliberation, SABMiller's board of directors approved that increase but said it would ask that Altria Group Inc. and the Santo Domingo family, its two largest shareholders, be treated as a separate voting class. "The U.K. court decision reduces the percentage of share holdings needed to block the deal from 25 percent to 15 percent," reports Stifel Nicolaus & Co. analyst Mark Swartzberg.
The
Belfast Telegraph (Aug. 24, Makortoff) states that such investors as Aberdeen Asset Management and hedge fund Elliot Engagement have raised concerns about the Belgian brewer's bid. Aberdeen has described the offer as "unacceptable," vowed to vote against the takeover, but welcomed the proposal for a shareholder vote split. "The takeover of SABMiller by Anheuser-Busch InBev would create the world's biggest brewer," notes the Telegraph.
Business Day (Aug. 24, Guthrie) recalls that South Africa's government "gave local corporations permission to list overseas in the belief that access to a deeper capital pool would help them grow." Five important groups joined the London market between 1997 and 2002, including South African Breweries, as SABMiller was then known. SABMiller has been the clear breakout success, as its shares have soared 340 percent over a 10-year span because of acquisitions and shrewd executive leadership.
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