SABMiller key director may need to sit out AB InBev talks
A key SABMiller (LON: SAB) board member may have to withdraw from negotiations between the beer group and its prospective acquirer Anheuser-Busch InBev (NYSE: BUD), if they progress to formal talks, as expected, The Sunday Times reported.
Non-executive director Geoffrey Bible holds stock worth several million pounds in both groups and may thus have to be excluded from talks under the rules of company law in the UK, the report said. A senior lawyer quoted in the piece said a company’s articles of association would usually prevent a person with such significant interests on both sides from participating in negotiations about whether a takeover bid should be accepted.
Bible is regarded as a link between SABMiller and its largest shareholder, Altria, and his presence would be missed by both deal sides, the report said. It noted that Bible used to head Altria.
Bible was unavailable for comment, the report said.
SABMiller is believed to be nearing agreement on an approximately GBP 42 (USD 63.8)-per-share deal with AB InBev, the item said. It went on to cite unidentified sources who said negotiations thus far have dragged because of fears among SABMiller shareholders about whether the UK-based company would retain its secondary listing on the stock market in Johannesburg and where the business would be domiciled.
The Sunday Telegraph reported that some analysts in the City are expecting AB InBev to come up with a revised offer this week in the region of GBP 45 per share, giving SABMiller a valuation in excess of GBP 70bn.
Sunday Times, Sunday Telegraph