SABMiller: New owners want to sell top brands

Cape Town – SABMiller confirmed on Thursday that Anheuser-Busch (AB) InBev wants to sell its world-renowned premium beer brands Peroni and Grolsch.

SABMiller [JSE:SAB] said in a JSE Sens statement that it was informed by AB InBev “of its intention to explore the sale of a number of SABMiller's European premium brands in line with its commitment to promptly and proactively address potential regulatory considerations”.

The brands include Peroni and Grolsch and their associated businesses in Italy, the Netherlands and the UK, and, given the brand's premium positioning, UK-based Meantime.

The sale would only take place if the AB InBev acquisition of SABMiller takes place. It would also be subject to appropriate engagement with stakeholders, unions and works councils.

"Under SABMiller's stewardship, Peroni and Grolsch have become world-renowned premium beer brands,” said Alan Clark, chief executive of SABMiller.

Dutch Grolsch beer was founded in 1615, while Italy’s Peroni has been produced since 1846, according to SABMiller’s website.

“Meantime has been a welcome addition to SABMiller and has a growing and loyal fan base,” he said. “These beers are loved by consumers and we are very proud of them.”

“Until the change of control we will continue to invest in growing these great beers and supporting our talented people who brew, sell and manage them."

On October 13, AB InBev agreed to buy SABMiller for £68bn (about R1.4trn), raising its bid to clinch a record industry deal that brings one out of every three beers sold worldwide under a single company.

The combined company will have the number one or two positions in 24 of the world’s 30 biggest beer markets, and provide AB InBev its first toehold in Africa, where about 65 million people are due to reach the legal drinking age by 2023.

SABMiller agreed to sell its 58% stake in MillerCoors to partner Molson Coors Brewing in a R173bn deal earlier this month to win regulators’ approval.

The deal to merge SABMiller and AB InBev, called “Megabrew” by analysts, will create a behemoth controlling about half of the industry’s profits.

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- With additional reporting from Bloomberg.