Agreement Calls for Divestment of Labatt Brands In United States
ST. LOUIS, Nov. 14 /PRNewswire-FirstCall/ -- Global brewers InBev and
Anheuser-Busch (NYSE: BUD) have reached an agreement with the U.S. Department
of Justice (DOJ) that satisfies its requirement to approve the transaction,
the companies announced today.
Terms of the agreement call for InBev to grant a perpetual and exclusive
license to brew, market, distribute and sell the Labatt beer brands in the
United States to an independent third party. Labatt Brewing in Canada will be
allowed to brew and supply the Labatt brands to the U.S. licensee for an
interim period of three years. The existing Labatt USA operations, based in
Buffalo, N.Y., that currently support the brand in the market will be sold to
the licensee.
The divestiture of the Labatt business in the United States will take
place after the merger deal closes. The combination with InBev is subject to
all other necessary regulatory clearances and customary closing conditions. A
closing date has not yet been announced, but the brewers expect to complete
the transaction as promptly as practical.
SOURCE Anheuser-Busch
