Business Hilights
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AB-InBev consummates merger deal with of Nigerian subsidiaries

Global leaders in brewery, the Anheuser-Busch weekend, completed the merger of its Nigerian businesses with the listing of the consolidation shares on the Nigerian Stock Exchange (NSE).

Three indirect Nigerian subsidiaries of Anheuser-Busch InBev-International Breweries Plc, Intafact Beverages Limited and Pabod Breweries Limited were merged through a scheme of merger with International Breweries subsisting as the post-merger company.

A total of 5.302 billion ordinary shares were listed last week in the name of International Breweries. The additional shares arose from the scheme of merger involving International Breweries, Intafact Beverages Limited and Pabod Breweries Limited.

In line with the supplementary listing of 5.302 billion ordinary shares, the total issued and fully paid up shares of International Breweries increased from 3.294 billion to 8.596 billion ordinary shares.

According to the deal, the International Breweries issued 5.302 billion ordinary shares of 50 kobo each to shareholders of Intafact and Pabod. Intafact had total issued shares of 1,400 ordinary shares of N100,000 each while Pabod had 4.0 billion ordinary shares of N1 each.

Details of the share exchange ratio indicated that 29.09 million ordinary shares of International Breweries were exchanged for 10 ordinary shares of Intafact while 3,071 ordinary shares of International Breweries were exchanged for 10,000 ordinary shares of Pabod.

Anheuser-Busch InBev’s majority equity stake in International Breweries Plc, has increased to 75.1 per cent. The merger was seen as a major strategic move by Anheuser-Busch InBev to upend competition and consolidate its Nigerian base for further expansion into the Sub-Saharan Africa (SSA).

Now, it means that all assets, liabilities and undertakings of Intafact and Pabod including employees, real property and intellectual property rights were transferred to International Breweries upon the completion of the proposed merger.

Business Hilights gathered that before the merger, Anheuser-Busch InBev held 72.17 per cent majority equity stake in International Breweries through its subsidiary-Brauhaase International Management GMBH. After the business combination, Anheuser-Busch InBev’s majority equity stake increased to 75.1 per cent.