InBev puts its feelings in a letter
Anheuser-Busch has been talking to maker of Mexican beer Corona to the chagrin of InBev, who was originally planning to buy out the company. Stephen Beard reports on the letter an upset InBev sent in response.
A bottle of Budweiser beer at a bar in New York City. (Spencer Platt/Getty Images)
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Scott Jagow: Anheuser-Busch isn't exactly going along with this bid from the Belgian company InBev. Instead, the king of beers has been talking to the Mexican company that makes Corona. InBev found out about this and they're really upset. Stephen Beard has more from London.
Stephen Beard: In the letter, InBev tells Anheuser-Busch not to thwart the InBev bid by swallowing a poison pill. The American company has reportedly been talking about a full merger with its Mexican joint venture partner.
InBev's letter says that Anheuser-Busch shareholders would be much better off with the InBev bid. It reminds the Busch board of its duty to its own shareholders, and talks of adverse consequences.
Roger Protz is editor of the Good Beer Guide:
Roger Protz: I find the InBev letter to Anheuser-Busch so threatening and bullying, it's frightening. Is this the world of modern business? I mean really quite disturbing, the way in which they're going about this.
If Anheuser-Busch did buy out its Mexican partner, it could become too expensive for InBev to buy. The Belgian/Brazilian company is already borrowing $40 billion to launch the largest cash takeover bid on record.
In London, this is Stephen Beard for Marketplace.
Comments
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From Medora, IN, 06/16/2008
From a financial view point, it may seem like wisdom, but there truly is a value that transcends money. America is young but we have started to build culture. It is sad that we sell it all away for the sake of pure profit. The brand is built on tradition. Its value, in no small part, is that it is part of our growing culture. It is time to stop selling out and have pride in our own culture, decisions and direction.
From Blanchard, OK, 06/16/2008
If InBev. is willing to buy AB what would happen to the other employee's that are in the packing and entertainment areas.These people have families to support and some of these employees have alot of years invested with this company to not have a clue of what is to come for them which to meis all wrong.
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