The Children’s Investment Fund Management (TCI) has taken a stake in SABMiller, which could lead to some last-minute improvements in the SABMiller-AB InBev deal.
Editor’s Remarks: AB InBev, the world’s largest beer producer, has a market share of 25% worldwide and has made an offer to take over competitor SABMiller for some £77bn. The move is to be discussed in SABMiller’s annual shareholder’s meeting taking place in London this week and, if successful, it will be the largest in British history. TCI acquired a participation of just under 1% in SABMiller, and it is the second activist to invest in the beer-maker after hedge fund Elliott Advisors which now owns 1.5%. The interest shown by the two activists is likely to push AB Inbev to improve its takeover offer of £44 per share. Before setting its eyes on SABMiller, AB InBev made an offer to Heineken, which the Dutch company rebuffed.
What to watch: AB InBev, SABMiller, The Children’s Investment, Elliott Advisors