Heineken Rejects SABMiller Takeover Offer

15 Sep 2014 --- Dutch brewer Heineken has rejected a takeover offer from brewing giant SABMiller, stating that the Heineken family (which still owns half of the company) wants to preserve the firm as “an independent company”.

Heineken is the third largest beer producer (in volume terms) behind AB Inbev and SABMiller. The company produces Heineken beer, Amstel and Strongbow ciders. It is the largest player in the Western European market and it has expanded steadily in emerging markets such as Asia. 

SABMiller’s beer brands include Miller Genuine Draft, Grolsch and Peroni Nastro Azzurro. It is also one of the world’s largest bottlers of Coca-Cola. 

The founding Heineken family owns slightly more than 50% of the company via Heineken Holding, while 12% is owned by Mexico’s FEMSA. Heineken is reported to have consulted with shareholders before rejecting the bid, stating it was “non-actionable”. 

“The Heineken family and Heineken N.V’s management are confident that the company will continue to deliver growth and shareholder value,” the company said in a statement. 

Meanwhile, number one brewer Anheuser-Busch InBev, which produces Budweiser and Stella Artois, is believed to have had its sights on a takeover attempt of SABMiller for the past few months. 

Recent reports by Bloomberg suggest SABMiller may have approached Heineken as a way of protecting itself against a takeover.