Brewers Molson Coors Brewing andSABMiller said Tuesday they will combine the U.S. and Puerto Rico operations of Miller and Coors in a joint venture.
The financial terms of the deal were not disclosed.
The new company will be called MillerCoors, the companies said. The London-based SABMiller, which brews Miller Lite as well as a slew of European beers, and Molson Coors, the brewer of Coors Light and the craft beer Blue Moon, will each have a 50% voting interest in the venture and have five representatives on its board of directors.
Under the terms of the agreement, the companies said they will conduct all of their U.S. business exclusively through the venture.
The companies said the deal will add to both of their earnings in the second full year of combined operations.
The companies project MillerCoors will have combined annual beer sales of 69 million U.S. barrels with revenue of about $6.6 billion.
Shares of Molson jumped 3.5% in German trading, while shares of SAB gained 0.4%.