Australian Antitrust Regulators Ready to Block Anheuser-Busch Sale
Anheuser-Busch InBev's (NYSE: BUD) plan to reduce its debt heavy debt load just hit a major roadblock after Australian antitrust regulators said its deal to sell its Carlton & United Breweries to Japan's Asahi Group (OTC: ASBRF) would impede competition.
The Australian Competition and Consumer Commission said the sale would concentrate hard cider sales under Asahi's control, giving it as much as a 71% share of the market. It also said the deal would lessen competition in beer because Asahi had proved to be an effective, growing rival to Carlton and Mitsubishi's Lion beer, a role that would be diminished if it acquired Carlton.
The regulators haven't outright rejected the deal yet, announcing they will take public comments on the sale, but with an eye toward making a final decision on March 19, 2020. Still, it seems clear Anheuser-Busch will not be able to proceed with the transaction as it is currently structured.
Source Fool.com