Proceeds from the sale will be used by Anheuser-Busch InBev to repay debt
AB InBev will retain operational control of its US-based metal container plants. (Credit: Jesper Skov from Pixabay)
Anheuser-Busch InBev has signed an agreement with a consortium of institutional investors, led and/or advised by affiliates of alternative investment management firm Apollo Global Management, to sell 49.9% stake in its US-based metal container plants for approximately $3bn.
The sale is a part of Anheuser-Busch’s efforts to optimise its business at an attractive price.
Proceeds from the sale will be used by the firm to repay debt, in accordance with its deleveraging commitments.
Upon completion of the deal, AB InBev will retain operational control of its US-based metal container plants.
At pre-determined financial terms, AB InBev will also have the option to reacquire the minority stake beginning on the fifth anniversary of the close of the transaction.
Apollo senior partner and Europe head Robert V Seminara said: “Executing an institutional investment of this nature showcases Apollo’s unique ability to cut through complexity and use the strength of our platform to provide world-class companies with scaled, strategic solutions.
“We are pleased to invest alongside AB InBev in its leading US metal container business, supporting AB InBev’s strategic plans and its employees.”
The transaction is planned to be completed by 8 January, 2021.
Apollo senior partner Jamshid Ehsani said: “Apollo is uniquely positioned to provide efficient custom capital solutions to large corporations.
“Our platform has an unconstrained capacity and appetite for complex and creative transactions, which – combined with our size, scale and speed of execution – differentiates us from other platforms and enables us to execute unique transactions of size that align with the investment objectives of our insurance and institutional clients, including Athene.”