Peru's biggest brewer, Union de Cervecerias Backus & Johnston, controlled by Columbian brewer Bavaria, said in a filing to the Lima Stock Exchange regulator Conasev it will offer to swap its non-voting share for another share with a fixed dividend. Backus will offer to buy back the share at face value adjusted with inflation after three years, Bloomberg posted on June 9. The stock rose 1 centimo, or 1 %, to 1.06 solesThe Peruvian brewer announced on June 8 that it will offer to swap its B-class and investment shares for a new class of non-voting preference ones.

In a statement to the stock market regulator Conasev, the brewer said: “If all holders of investment shares take part (in the share swap) the increase in (company) capital will rise by PEN514m (US$152.5m).”

According to the company, B-class shares have the same value as preference shares, which means that they would not generate more income for the brewer. The share swap was approved by Backus’ shareholders at a general meeting on Monday, June 7. Under the terms of the offer, each new non-voting preference share could be exchanged for 10 investment ones. Shareholders can swap each B-class share for a new preference one.

Shareholders tendering their existing investment shares and B-class shares will receive a fixed accumulative dividend, the company said. The dividend will be set before the swap is launched. A date for the share swap, however, has not been set.

10 June, 2004