E-Malt.com News article: 2739

Brazil: Brazilian brewer Schincariol filed a request on June 3 asking that rival beer maker AmBev not be allowed to sell beers belonging to Belgium's Interbrew in Brazil until authorities approve Interbrew's planned purchase of AmBev. Schincariol, Brazil's second-largest maker of beer after Companhia de Bebidas das Americas (AmBev), filed the request with the nation's top antitrust authority, the Administrative Council of Economic Defense (CADE), according to Reuters.

Schincariol argued that AmBev should not be allowed to distribute Interbrew's brands in Brazil or have access to the Belgium company's funds until the CADE issues a formal ruling on Interbrew's $11 billion takeover of AmBev.

Interbrew, the maker of Beck's and Stella Artois, has said it is aiming to complete the AmBev purchase in the third quarter of this year. The deal would create the world's largest maker of beer in terms of volume, surpassing Anheuser-Busch Cos. Inc. .

Schincariol has tried to derail the deal, arguing it would hurt Brazil's beverage market, where AmBev is the major player but Interbrew is virtually nonexistent. But Schincariol's efforts have so far failed, and most analysts expect the Interbrew-AmBev deal to get the green light from the CADE without many problems. Last week, the Finance Ministry's SEAE antitrust agency issued a report recommending that the CADE approve the deal.


04 June, 2004