U.S. antitrust regulators are dissatisfied with proposals made by Anheuser-Busch Inbev SA in its bid to purchase the half of Mexican brewer Grupo Modelo that it does not already own as it works to finish its investigation of the deal, a source close to the talks told Reuters. The Justice Department's Antitrust Division has shifted into high gear in recent weeks as it looks at the plan by the world's largest brewer to buy out Modelo for $20.1 billion.In hopes of staving off U.S. antitrust scrutiny, AB InBev agreed to sell Modelo's stake in Crown Imports, its U.S. distributor, to Constellation Brands Inc for $1.85 billion.This would mean that AB InBev would not distribute, promote or set the price for Modelo beers like Corona, Negra Modelo and Pacifico, but it would still supply the beers to Crown.Antitrust experts had expected the Justice Department to focus on the supply agreement, but a source said the government wanted to go further because the sector is so concentrated.
Anheuser Busch Inbev SA is a brewing company. The Company produces, markets, distributes and sells a balanced portfolio of approximately 200 beer brands. Shares of BUD traded higher by 0.91% or $0.81/share to $89.72. In the past year, the shares have traded as low as $60.52 and as high as $91.21. On average, 872800 shares of BUD exchange hands on a given day and today's volume is recorded at 469805.
Constellation Brands, Inc. is a wine company. The Company is a marketer of imported beer in the United States. Shares of STZ traded higher by 0.49% or $0.19/share to $38.74. In the past year, the shares have traded as low as $18.50 and as high as $38.99. On average, 1836460 shares of STZ exchange hands on a given day and today's volume is recorded at 1849094.
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