AB InBev delays £4bn float of its Asian business amid fears


AB InBev delays £4bn float of its Asian business amid fears of the ongoing trade war between US and China

The brewer behind Becks, Budweiser and Corona has dramatically pulled plans to list its Asian business in a blockbuster float.

AB Inbev had previously announced proposals to list the division in Hong Kong, the biggest such deal of the year and worth a potential £3.8billion.

But last night the firm said it had cancelled the float because of ‘prevailing market conditions’ – a reference to the ongoing trade war between the US and China.

Gone flat: Brewer AB Inbev has dramatically pulled plans to list its Asian business in a blockbuster float

Gone flat: Brewer AB Inbev has dramatically pulled plans to list its Asian business in a blockbuster float

‘The company will closely monitor market conditions, as it continuously evaluates its options,’ AB Inbev said.

The decision is a blow to the world’s biggest brewer as it is trying to reduce its £78.7billion debt mountain.

AB Inbev had said the float of Budweiser Brewing Company APAC, with its acronym standing for ‘Asia-Pacific’, would have taken place over the summer.

Asia is the biggest region for beer consumption, accounting for 37 per cent of the world’s share.

It is also one of the fastest-growing markets.

The region produced 18 per cent of AB InBev’s sales by volume and revenue of £6.5billion, according to documents filed by the company.

 



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