![#](https://e-malt.com/Images/left_top_corner16x200.gif) | E-Malt.com News article: 2313
The shares of Mexican beverage company Femsa fell 2.5% to $48.49 on March 8 as management prepares to hold a series of meetings this week with Brazil's Ambev. Ambev assumed Interbrew's 30% stake in Femsa's beer division when it merged with Interbrew last week, but it's not clear whether Femsa will seek to ally itself with the Brazilian-Belgian behemoth or try and tackle the neighboring U.S. market on its own. Brazil's AmBev is set to meet with Femsa this week to discuss its 30% stake in the Mexican brewer. Following last week's merger between Interbrew and AmBev, the Brazilian brewer is set to take control of Interbrew's stake in Femsa, although the Mexican brewer now has first refusal to buy back the share.
AmBev is keen to keep the share in Femsa, but following the fractious relationship between Interbrew and Femsa, it is thought that the Mexican company may jump at the chance to buy back the share.
In a conference call, AmBev co-chairman Marcel Telles said; "We are starting talks (with Femsa) to figure out the best alternatives for both companies going forward. "Hopefully we'll find alternatives to further enhance our partnership," added Telles.
In a research note, Bear Stearns analysts said on Friday: "We believe Femsa should and will repurchase the Interbrew stake at a compelling valuation for Femsa investors."
10 March, 2004
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