London: European food and beverage stocks rallied on Tuesday after SABMiller accepted a takeover proposal at the fifth time of asking from Anheuser-Busch InBev (ABI).
The STOXX Europe 600 Food & Beverage Index was up 1.5 per cent, outperforming a 0.6 per cent drop in the broader, pan-European STOXX 600 index.
After repeated rebuttals from its next largest rival, AB InBev said it was willing in principle to pay 44 pounds in cash per SABMiller share, with a partial share alternative set at a discount and limited to 41 per cent of the SABMiller shares.
SABMiller shares were up 9.1 per cent at 39.51 pounds, while ABI shares advanced 4 percent. Rival Diageo rose 0.4 per cent, Heineken gained 1.1 per cent although Carlsberg edged down by 0.3 per cent.
The STOXX Europe 600 Food & Beverage Index was up 1.5 per cent, outperforming a 0.6 per cent drop in the broader, pan-European STOXX 600 index.
After repeated rebuttals from its next largest rival, AB InBev said it was willing in principle to pay 44 pounds in cash per SABMiller share, with a partial share alternative set at a discount and limited to 41 per cent of the SABMiller shares.
SABMiller shares were up 9.1 per cent at 39.51 pounds, while ABI shares advanced 4 percent. Rival Diageo rose 0.4 per cent, Heineken gained 1.1 per cent although Carlsberg edged down by 0.3 per cent.
© Thomson Reuters 2015
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