USA: Takeover speculation boosts Anheuser-Busch call options trading

Renewed speculation that Anheuser-Busch Cos. will be acquired sent options on the country's largest brewer to the highest prices since January, Bloomberg reported May 6.

Call-option trading increased Monday to 51,299 contracts, the most since June. The most-active options give the right to buy the stock for $55 by June 20. Anheuser-Busch has never closed above $55.

Anheuser-Busch and larger rival InBev NV rose Feb. 1 after the Wall Street Journal cited anonymous sources saying that the two companies discussed a merger that may occur this year.

But A-B Chief Executive August A. Busch IV said last month that he wouldn't allow the brewer to be sold, according the newspaper's Deal Journal blog.

The St. Louis brewer doesn't "confirm, deny or speculate on rumors," A-B said Monday. InBev said the Belgian brewer doesn't comment on market speculation.

On Monday, the June $55 calls options rose 82 percent to $1. The second-most-active options, September $60 calls, added 120 percent to 55 cents.

Anheuser-Busch climbed 2.3 percent to close at $51.41 on the New York Stock Exchange, reaching an almost four-month high.

07 May, 2008