Anheuser Busch InBev (AB InBev), the world’s largest brewing company, completed the repurchase of $200 million of its ordinary shares from Altria Group. Concurrently with this direct share buyback, Altria completed a $2.2 billion global offering of 35 million AB InBev shares. The two transactions reduced Altria’s 10 percent stake in the brewing company to 8.1 percent.
AB InBev subsequently closed an SEC-registered debt offering of $1 billion of 5% senior guaranteed notes due 2034. Concurrently with the launch of the senior notes offering, the brewer commenced a cash tender offer to purchase certain series of its outstanding notes for up to $2 billion.
These transactions are the latest in the Firm’s decades-long relationship with AB InBev and its predecessor companies, including the agreement to become the first beer sponsorship for the Olympics at the Worldwide Olympic Partner level, the $3 billion sale of its container production plants, the 2019 Hong Kong IPO of Budweiser APAC in 2019, its $10 billion public offering in 2018 and its merger with SABMiller in 2016.
The S&C team advising AB InBev in these transactions included Frank Aquila, John Horsfield-Bradbury, Abi Yevnin, Nitish Verma, Andrew Brickfield, Zainab Cheema, Becki Thompson, Giada Ginevra Tagliabue and Monica Rodriguez. Eric Wang, Saul Brander and Julia Fleurantin advised on U.S. tax matters. Giada Ginevra Tagliabue, Irene Bedmar-Gómez and trainee solicitors Guilherme Cardoso, Nicholas U Jin, Claire Seo-Young Song and Sebastian Adolph provided valuable assistance.