Skip to: Content
Skip to: Site Navigation
Skip to: Search

August 21, 2008 8:26:05 AM CDT

Learn about Newser Points »

« Back to the grid | Next story »

Anheuser-Busch: The Deal That Sleeps With the Fishes

Posted Jul 17, 08 11:40 AM CDT in Opinion,  Business 

(Newser) – Anyone mourning the takeover of Anheuser Busch by Belgium's InBev might want to know that the real turning point in that battle occurred more than a decade ago. On a fishing trip. In Mexico. The last real chance to outmaneuver InBev was lost when the US brewer failed to get a controlling stake in Mexico’s Grupo Modelo, writes David Kesmodel in the Wall Street Journal. And chances for that, say industry sources, vanished when former A-B CEO August Busch III decided to take a call instead of landing a humongous marlin.

The trip was intended to cement relations with the Corona makers and foster a deal, but Busch botched the diplomacy, handing off his rod to a startled Modelo exec who happened to be a major shareholder. Barking orders to land the marlin expeditiously, Busch cut short the trip after a day, leaving relations with the Modelo team in tatters. They improved over the years, Kesmodel writes, but not fast enough to stave off the InBev foray.

Source Wall Street Journal

0 comments | Print E-mail | Digg Seed this on Newsvine Add this link to Del.icio.us StumbleUpon

Related Newser Stories

  • 'King of Beers' Gets a Taste of Own Medicine

    Jul 17, 08 2:40 PM CDT
    'King of Beers' Gets a Taste of Own Medicine Anyone who thinks InBev’s buyout of Budweiser represents the end of American beer needs a history lesson, writes Edward McClelland in Salon. Budweiser became the “King of Beers” by killing every other heir to the throne. In 1960, America had 175 traditional, regional breweries, making lagers just like Bud. Anheuser-Busch systematically crushed them all, through its distribution and marketing might. More »

  • InBev Boosts Bid for Bud, Making Buyout Likely

    Jul 11, 08 10:55 AM CDT
    InBev Boosts Bid for Bud, Making Buyout Likely InBev has increased its bid for Anheuser-Busch to $70 a share, the Wall Street Journal reports. Although willing to replace the Budweiser-brewer’s board in a hostile takeover, the $5-per-share boost—bringing the total deal to $50 billion—is a signal that InBev would prefer to keep things friendly. Anheuser will probably accept the new offer, sources told the Journal. More »

  • Lift a Glass to Belgian Bid for Bud

    Jul 6, 08 10:29 AM CDT
    Lift a Glass to Belgian Bid for Bud Belgian beer company InBev’s bid for Anheuser-Busch may look like an affront to a US tradition—but it's perfectly in keeping with the American spirit of entrepreneurship, writes Maureen Ogle in the Washington Post. It’s “precisely the sort of bold strike that launched the American Revolution and still fuels the American dream"—and if Adolphus Busch were alive today, he’d hire InBev’s CEO. More »

  • Budweiser to Reject InBev Offer

    Jun 25, 08 7:00 PM CDT
    Budweiser to Reject InBev Offer Anheuser-Busch plans to reject Belgian brewer InBev's $46 billion offer to buy the company, the Wall Street Journal reports. The decision is not expected to deter InBev, however, which could launch a hostile takeover bid, the Journal notes. InBev wants to acquire the St. Louis brewer—the maker of Budweiser—to create the world's largest beer maker. More »

  • Budweiser to Buy Corona to Stave Off Stella?

    Jun 13, 08 6:55 AM CDT
    Budweiser to Buy Corona to Stave Off Stella? Anhueser-Busch has approached Mexian brewer Grupo Modelo about a possible merger, the Wall Street Journal reports, in an attempt to thwart an unwanted $46.35 billion takeover bid from Belgium’s InBev NV. Anhueser already owns 50% of Modelo, which is best known for its Corona brand. By buying the other 50%, it hopes to move out of InBev’s price range. More »

A Budweiser truck turns into Anheuser-Busch's Columbus brewery Tuesday, July 15, 2008 in Columbus, Ohio.   (AP Photo/Kiichiro Sato)
The Anheuser-Busch brewery is seen in the foreground as the Gateway Arch is seen in the distance, in St. Louis. Anheuser-Busch has agreed to a $52 billion takeover bid from the Belgian brewer InBev.   (AP Photo/Jeff Roberson)
President and Chief Executive Officer August Busch IV enjoyed healthier relations south of the border, but the damage might already have been done.   (AP Photo)
« Prev« Prev | Next »Next » Slideshow
Our editors also recommend:

Threads (1 of 2)

Tags

mergers and acquisitions  • Anheuser-Busch  • takeover  • Budweiser  • InBev  • Grupo Modelo


Loading...

Premium Articles from HighBeam

Find more articles like this

Today's Most Popular


Other Business Stories

What is Newser?

2008 Codie Finalist

Newser gives you more news in less time. We search for the best and most important stories all over the web, read them for you, and deliver concise and sharp summaries—along with links to the full text. Newser provides a way to stay on top of an ever-expanding horizon of news and opinion—politics, sports, business, trends, technology, personalities, crimes, and controversies. Newser keeps you not just better informed, but, with our signature graphic interface and smart condensed format, more enjoyably informed.

Learn more »