It was reported today that the two largest beer manufacturers on the planet, Anheuser Busch InBev and SABMiller have agreed in principle to a merger. After rejecting numerous prior offers, SABMiller has reportedly agreed to be purchased by Anheuser Busch InBev for $106 billion.
Due to the overwhelming size of the merger -the two would comprise a market share of 31%- there are bound to be Governmental concerns over the new conglomerate’s ability to control the market and eliminate competition. The deal is unlikely to make it through regulation without some concessions, likely in the form of selling off some of the smaller breweries under the Anheuser Busch/ Miller umbrella.
by Jesse Mechanic