Will Grupo Modelo Bid for Foster’s Group?
Mexican brewer Grupo Modelo SAB de CV (MXK:GMODELOC) has discussed with its board of directors a possible joint bid for Foster’s Group Ltd (ASX:FGL) along with Molson Coors Co. (NYSE:TAP). Modelo would have to get the support of Anheuser-Busch InBev AB (NYSE:BUD), which has a 50% non-controlling stake in the company.
The possible acquisition has been in talks for a while, with first news coming late last month. Technically there is no official news, with all word of the talks coming from an anonymous source who has come forward with information the companies involved meant to have kept private.
Foster’s is one of two brewers controlling a combined 90% of the market in Australia, one of the biggest beer-drinking nations in the world, with population growth forecast to outstrip the U.S. and Western Europe.