Plus   Neg

AB InBev's Asian Unit Seeks To Raise $9.8 Bln In Hong Kong IPO

Brewer Anheuser-Busch InBev SA's (AHBIF.PK,BUD) Asia-Pacific unit, Budweiser Brewing Company APAC Ltd., is seeking to raise up to $9.8 billion in an initial public offering or IPO in Hong Kong, reports said citing people familiar with the matter.

Budweiser Brewing's planned IPO reportedly would be the world's largest food and beverage IPO. As of now, Kraft Foods Inc. is in the top spot with its $8.68 billion IPO in 2001.

Reuters reported that Budweiser Brewing is selling 1.6 billion primary shares at between HK$40 and HK$47 per share, or about $5.13-$6.02. The company would raise between $8.3 billion and $9.8 billion, which would give Budweiser a market capitalization of up to $63.7 billion after the IPO.

As per reports, Budweiser, which operates a portfolio of more than 50 beer brands, will launch bookbuilding for its Hong Kong IPO later Tuesday. The move is ahead of a planned debut on July 19.

While announcing the first-quarter results in May, AB InBev had said that it was actively exploring a potential minority stake listing of Asia Pacific business on the Hong Kong Stock Exchange. With the initiative, the company said it expects to create an APAC champion in the consumer goods space.

For comments and feedback contact: editorial@rttnews.com

Business News

Editors Pick
Intel Corp. said it is probing into the hack of its fourth-quarter earnings report that prompted the chipmaker to release its earnings statement ahead of schedule. The company, which was scheduled to release the results after the market closed, released it before the market closing on Thursday. Google parent Alphabet decided to drop its Internet balloon project Loon that was launched with the idea of providing Internet access to rural areas and providing last mile connectivity. In a blog post, Loon CEO Alastair Westgarth said they have not found a way to get the costs low enough to build a long-term, sustainable business, despite gaining a number of interested partners along the way. American Airlines announced the launch of Flagship Cellars, its home delivery service for premium wines usually available onboard. The airline's move is said to be due to the excess wine it has amid the weakness in air travel demand following the coronavirus pandemic crisis. The company expects the new at-home wine program to generate about $40,000 to $50,000 in sales during the first quarter.
Follow RTT