Anheuser-Busch InBev Reaches Agreement to Sell US Labatt Business
In addition to the acquisition of Labatt USA, the transaction includes the grant by Labatt Brewing Corporation Limited of an exclusive license to brew Labatt branded beer in the U.S. or Canada solely for sale for consumption in the U.S.
23/02/09 Anheuser-Busch InBev has entered into an agreement with an affiliate of KPS Capital Partners, LP to sell InBev USA LLC (also doing business under the name Labatt USA), headquartered in Buffalo, New York, which has been the exclusive importer in the United States of Labatt branded beer brewed by Labatt Brewing Company Limited, an indirect subsidiary of Anheuser-Busch InBev headquartered in Canada. KPS Capital Partners is a private equity firm with over 1.8 billion USD of committed capital. Terms of the transaction were not disclosed.
In addition to the acquisition of Labatt USA, the transaction includes the grant by Labatt Brewing Corporation Limited of an exclusive license to brew Labatt branded beer in the U.S. or Canada solely for sale for consumption in the U.S., to distribute, market and sell Labatt branded beer for consumption in the United States, and to use the relevant trademarks and intellectual property to do so. Labatt Brewing Corporation Limited is also entering into a transitional supply agreement to brew and supply Labatt branded beer to Labatt USA for up to three years after which the purchaser will be responsible for production.
This transaction is being undertaken to satisfy requirements imposed by the United States Department of Justice in connection with its clearance of InBev’s acquisition of Anheuser- Busch Companies, Inc. in November 2008. This transaction does not affect Labatt branded beer in Canada or anywhere else outside the United States and also does not impact Kokanee, Alexander Keith’s, Brahma or any other brands except for Labatt branded beer.