Amazon workers in Minnesota and Germany are striking as Prime Day kicks off, in a stand against working conditions and wage practices. The action in Minnesota represents the...Retailread more
Treasury Secretary Steven Mnuchin is raising red flags ahead of Facebook's proposed cryptocurrency launch.Marketsread more
Epstein is accused of sexually exploiting dozens of underage girls from 2002 through 2005 at his New York and Florida residences. He is a former friend of Presidents Donald...Politicsread more
When you think of Prime Day, you might be thinking about deals on Instant Pots and Amazon Echo devices — not half-off dresses and designer heels. But the market for apparel...Retailread more
David Marcus, the head of Facebook's digital currency project, said the company expects Libra will drive more advertising revenue for the company.Technologyread more
Some White House officials expect the Cabinet secretary, who has known the president for years, to depart as soon as this summer.Politicsread more
Boeing met with aircraft leasing firms and financiers in New York as the grounding of its popular 737 Max planes drags on with no clear timeline for getting the planes back in...Aerospace & Defenseread more
Both companies report earnings on Aug. 8, so the CBS and Viacom boards have set that as a natural deadline to agree to a merger. Price won't be discussed by the companies...Technologyread more
The Food and Drug Administration "stands ready" to start reviewing e-cigarettes amid a teen vaping "epidemic," acting Commissioner Ned Sharpless said Monday in a statement.Health and Scienceread more
US oil companies on Monday began restoring some of the more than nearly 74% production shut at U.S. Gulf of Mexico platforms ahead of Hurricane Barry, the US offshore drilling...Energyread more
The Guggenheim CIO says he had been approached by the White House about possibly joining the Federal Reserve.The Fedread more
In a statement made in response to recent press speculation, SABMiller said that no proposal had yet been received from AB InBev and that it would respond as appropriate once an approach had been made.
SABMiller, which is the world's number two brewer in terms of sales with brands including Peroni, Grolsch and Pilsner Urquell, saw shares in London rose 23 percent on the news, with AB InBev's stock up 7.4 percent. News of the deal also bolstered Europe's brewing sector with Heineken and Carlsberg shares both up 5 percent.
Following SABMiller's announcement, AB InBev confirmed that it had made an approach to SABMiller's board regarding a combination of the two companies, adding that it was its intention to work with the U.K. group's board toward "a recommended transaction".
A combined ABInBev/SABMiller would have a market value of around $270 billion, based on current prices, Reuters reported.
Shares of SABMiller currently trade at around £36. If AB InBev matched this in its bid, plus SABMiller's net debt, that suggests a deal value of around $100 billion—one of the top ten acquisitions of all time. Neither company has commented on valuation so far however. Analysts at Bernstein suggested the deal value might have to go higher than £39 per share to ensure SABMiller shareholders' agreement.
Any deal would also mean a broader geographical reach into fast-growing emerging markets: AB InBev has a strong presence in Latin America, while SABMiller sells across Africa.
However, there are likely to be some regulatory hurdles to be cleared because of overlap between the two companies. SAB's stake in Miller Coors in the U.S. and its 49 percent stake in CR Snow in China are likely to have to go, according to analysts at Bernstein.
Follow us on Twitter: