India: AmBev's 'Baa1' rating affirmed on InBev's bid for Anheuser-Busch

Moody's Investors Service said it affirmed Companhia de Bebidas das Americas's (AmBev) 'Baa1' local currency issuer rating after its parent company InBev N.V. made an unsolicited bid for all outstanding shares of Anheuser-Busch Cos. Inc. (Bud) for a total amount of about $57 billion, including assumed debt, Thomson Financial reported June 17.

The affirmation is based on InBev management's statements that Brazilian brewer AmBev is not part of their bid for Bud and that it will not be affected, Moody's said.

The affirmation and positive outlook continue to be based on the expectation that AmBev will be able to offset higher commodity prices and continue to improve operating and EBITDA margins going forward, the ratings agency added.

17 June, 2008