:. Food Industry News

Categories: Mergers and Acquisitions

Anheuser/InBev Has $1.25 Bln Breakup Fee - Filing

Source: Reuters
17/07/2008

New York, July 16 - Anheuser-Busch Cos Inc said on Wednesday that its $52 billion deal to be taken over by InBev NV carries a breakup fee of $1.25 billion.

Daily News Alerts

The breakup fee amounts to about 2.4 percent of the value of the deal, which is within normal parameters for a breakup fee.

According to a regulatory filing, either side would have to pay the breakup fee if it was responsible for the deal falling through. An example is if InBev shareholders did not approve the takeover.

But InBev's controlling shareholder, which controls about 63 percent of its outstanding shares, agreed to vote in favor of the deal, Anheuser said.

The maker of Budweiser and Michelob also said it has established an employee retention program that will provide integration bonuses and severance benefits to about 360 key Anheuser employees who stay with the company through the normal payment date of 2009 bonuses. An employee who is involuntarily or constructively terminated after the closing will be eligible to receive a pro-rata payment.

About 60 of those employees will be eligible for an additional 2008 bonus.



GO   View more articles on this subject

Email This Article To A Colleague     Print A Copy Of This Page
 
 
 
 
FLEXNEWS - Business News for the Food Industry

About Us | Contact Us | Terms & Conditions | Privacy Policy
 
Daily News Alerts
Related Items
InBev Announces Successful Completion of Primary Syndication...
InBev Gets U.S. Request for More Data on Anheuser Deal
InBev Expects Banks to Sign into Loan Next Week
InBev's $45 Bln Jumbo Loan Gathers Support
Mexico's Modelo Reserves Rights in Anheuser Bid
InBev Played Smart to Win Defenseless Anheuser
Mexico's Modelo Should Warm to New Partner InBev
Obama Disappointed in Anheuser-Busch Sale
InBev and Anheuser-Busch Agree to Combine, Creating...
InBev Close to Deal on Anheuser-Busch - NYT

More in Food Industry News
India Allows Immediate Exports of Premium Rice Grade
China: Huifeng Bio-Pharmaceutical Enters into Letter...
USA: Wright Unaffected by Hurricane Gustav
USA: Tracking and Taming a Tomato Virus
Morrison to Top UK Grocery Growth League
Canada: Various Cheese Products Produced by Ivanhoe...
Singapore's Trump Dragon Falls 3.2 pct on Debut
Renovo Holdings Changes Name to Bebida Beverage Company
Turkey: Ülker Sees 18% Sales Growth This Year...
BENEO-Orafti to Increase Prices by 25% for Orafti Products...

Top Headlines
India Allows Immediate Exports of Premium Rice Grade
China: Huifeng Bio-Pharmaceutical Enters into Letter...
USA: Wright Unaffected by Hurricane Gustav
Morrison to Top UK Grocery Growth League
Turkey: Ülker Sees 18% Sales Growth This Year...
BENEO-Orafti to Increase Prices by 25% for Orafti Products...
Martek Announces Third Quarter 2008 Financial Results
India Guar Futures Lower on Higher Acreage
Ghana to Open Main Cocoa Crop Early - Officials
Major Croat Retailers Cut Prices After PM's Attack
Spain: SOS Cuetara May Sell Biscuit Unit and Regional...
SunOpta Announces Strategic Review Process, Company...
Bisphenol A Linked to Metabolic Syndrome in Humans
WTO Rules Largely Against Mexico in Olive Oil Fight
Former Zuka and Jamba Juice Exec Launches Roxberry...
Kellogg Stands by 2008 Earnings Forecast
AarhusKarlshamn Acquires Rapsona AB
Nestle to Transfer Bucharest Ice Cream Production to...
Wal-Mart Leads Better Sales for US Discount Retailers
China: Vitamin C Exports Grow 17.3% in H1 2008
The Pepsi Bottling Group Confirms Third Quarter and...
Dean Foods' Tennessee Subsidiary Mayfield to Cut 100...
Salt Replacing Composition, Process for Its Preparation...
Low Trans Fatty Acid Shortening Compositions
Unsubstituted and Polymeric Leuco Colorants for Coloring...


 


FLEXNEWS 2008 - All rights reserved
ISSN 1950-6228