InBev committed to offer for Anheuser-Busch, may take proposal directly to shareholders

By Lisa Kerner

Charlotte, N.C., July 1 - InBev NV said it remains committed to its $65-per-share offer for Anheuser-Busch Cos. Inc., believing it reflects the "full and fair value of the company."

Anheuser-Busch's board of directors unanimously rejected the offer, it was announced last week. According to Anheuser-Busch, the offer price did not reflect the strength of the company's top-selling beer brands, Bud Light and Budweiser.

InBev chief executive officer Carlos Brito noted that his company's offer is backed by fully committed financing and said it "provides immediate certainty of value in a weakened stock market environment."

"Our firm proposal was rejected in favor of a newly formulated management plan with significant execution risks," Brito said in a company news release.

Brito added that the combination of InBev and Anheuser-Busch would create a more competitive global company with "an unrivaled worldwide brand portfolio and distribution network, as well as unmatched economies of scale."

While InBev prefers to achieve a friendly combination with the St. Louis brewing company, it will "pursue all available avenues" to give Anheuser-Busch shareholders a voice in the process.

It was previously reported that InBev filed suit in Delaware Chancery Court seeking a judgment to confirm that shareholders acting by written consent may under Delaware law remove without cause all 13 of the present Anheuser-Busch directors, including the five elected in 2006.

InBev, a Leuven, Belgium-based brewing company, paid approximately $50 million in commitment fees to a lender group, demonstrating its resolve to close the deal, according to a June 25 letter to Anheuser-Busch from InBev.

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