SAB Miller to swallow Foster's
The London-based, South African-owned brewer upped its offer to $A9.9 billion in cash offer to buy Australia's biggest beer maker.
In the longest-running corporate takeover this year, the Foster’s Group board has finally bowed to global brewer SAB Miller.
The London-based, South African-controlled company's $A9.9 billion cash offer has been recommended to shareholders by the Foster's board.
The bid, which values the shares at $A5.10, is 4.1% more than the one made for Foster's three months ago, just after it had spun of its wine division as Treasury Wine Estates.
The Foster's board rejected the initial offer of $A4.90 a share in June as too low. But since then markets have slumped about 9% and no rival offer emerged.
The latest offer is a premium of 12% above the Foster's share price before SAB Miller made its initial bid.
Foster's said that as part of the deal, it would return 30Ac a share to its shareholders, similar to a move it had already announced.
It also said shareholders would be paid a dividend of 13.25Ac in October. That brings the total value to $A5.5325 a share, or $A10.8 billion.
Nevil Gibson
Thu, 22 Sep 2011
Thu, 22 Sep 2011
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SAB Miller to swallow Foster's
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