Heineken raises Tiger Beer bid to $4.47 bln

AMSTERDAM / BRUSSELS

AFP photo

Dutch brewer Heineken has raised its bid for a controlling stake in Tiger Beer maker Asia Pacific Breweries to $4.47 billion, hoping to ward off a rival bid, The Associated Press reported.

Singapore conglomerate Fraser and Neave agreed early on Aug. 18 to sell its 39.7 percent stake in APB to Heineken, which would give the Dutch brewer 81.6 percent of APB.

Heineken thought it had sealed the deal with a $4.23 billion bid in July, but Thai Beverage then offered Fraser and Neave 55 Singapore dollars ($43.91) per share for a 7.3 percent stake in APB - better than Heineken’s 50 Singapore dollars ($39.92) per share bid.

Heineken’s new bid is 53 Singapore dollars ($42.31), but it covers Fraser and Neave’s whole stake.
The deal includes a $47 million break fee for Heineken.

Meanwhile, global beer giant AB Inbev will give further information to US justice officials over its planned purchase of Mexican brewer Grupo Modelo, which makes Corona, according to a statement received on Aug. 18, Agence France-Presse said.

Anheuser-Busch InBev said the request for additional information is “often referred to as a ‘second request’ and is a normal part of the review process.” “The company intends to respond expeditiously to the second request and continues to expect the transaction to close during the first quarter of 2013,” AB Inbev added in the statement.

The beer titan, whose brands include Budweiser and Stella Artois, announced in June a deal to take full control of Grupo Modelo for $20.1 billion (16.3 billion euros).

The deal still needs the regulatory green light from several competition authorities, especially in Mexico.