World's largest brewer AB InBev agrees $104bn deal for rival SABMiller
Anheuser-Busch InBev and SABMiller said on Tuesday they had agreed terms for a takeover, with the world's largest brewer set to pay $68 per share in cash for its smaller rival. The deal is worth $104bn.
After days of wrangling over price, the two firms said they had now agreed the terms in principle, with the price representing a premium of around 50pc to SABMiller's closing price on September 14.
There is also an option for investors to take shares.
Under the terms of the deal, AB InBev would agree to a reverse break fee of $3bn payable to SABMiller should the transaction fail due to regulatory hurdles or if AB InBev shareholders don't approve it.
AB InBev is the company behind Budweiser. SABMiller makes Miller.