Asahi to buy SABMiller's european beers in 7.3b euro deal

[LONDON] Asahi Group Holdings Ltd agreed to buy SABMiller Plc's eastern European assets including Pilsner Urquell from Anheuser-Busch InBev NV for 7.3 billion euros (S$11.15 billion), as the Budweiser maker ties up loose ends from the combination of the world's two biggest brewers.

Asahi expects the acquisition to close in the first half of 2017, and is positioning its overseas business as its growth engine as it establishes itself as a global player, the Tokyo-based brewer said Tuesday.

The deal further strengthens Asahi's foothold in Europe after Japan's largest brewer agreed to pay 2.55 billion euros for AB InBev's Peroni and Grolsch brands earlier this year.

For AB InBev, the divestment brings it a step closer to meeting the antitrust commitments that allowed it to buy SABMiller for about US$100 billion.

Asahi shares fell as much as 6.4 per cent on Tuesday, the biggest intraday drop since June 24.

BLOOMBERG