InBev Ratchets up Pressure on Anheuser-Busch

27 June 2008

ST LOUIS: Anheuser-Busch, US brewer of the iconic Budweiser brand, is preparing to man the ramparts as rival Belgian giant InBev threatens a hostile assault, after the rejection of its $46.3 billion (€30.03bn; £23.7bn) unsolicited bid.

The Stella Artois brewer has filed papers in the Court of Chancery in Delaware, saying it is seeking to remove the A-B board because of its "delays and apparent plans to attempt to block the acquisition".

A-B, for its part, has justified the thumbs-down to the offer saying it undervalued the company and was using the weakness of the US dollar and the stock market to grab a bargain.

InBev is seeking to make significantly bigger inroads into the US beer market and wants to increase growth in China, where A-B owns 27% of Tsingtao Brewery, the country's second-largest brewer.

Data sourced from Financial Times Online; additional content by WARC staff