April 8, 2013
Grupo Modelo SAB, Mexico’s largest brewer, said seven workers died in an accident at its Mexico City brewery. The deaths occurred today in “a confined area of a tank in which cleaning and maintenance work was being done,” Jennifer Shelley, a spokeswoman for the Mexico City-based company, said in a statement. The brewer has contacted authorities and the families of the deceased workers, she said.
Modelo, which makes Corona beer and has agreed to be acquired by Anheuser-Busch InBev NV (ABI), is investigating the cause of the accident, Shelley said. Mexican newspaper Milenio reported that the deaths were due to unspecified toxins. Shelley declined to comment on the report.
February 15, 2013
Financial Times, 2/14/2013
Anheuser-Busch InBev has offered to offload assets and licences in a bid to win regulatory approval for its $20bn takeover of Grupo Modelo, the Mexican brewer.
The world’s largest brewer by sales has offered to sell a high-tech brewery in Mexico and offload its US perpetual rights over the Corona and Modelo beer brands in response to the US Department of Justice’s lawsuit to block the takeover on antitrust grounds.
It also intensified its estimation of revenue and cost benefits by $400m to $1bn annually in the process. Carlos Brito, chief executive, said he believed the changes addressed DoJ concerns. “And the deal is even better because we uncovered more synergies,” he said.
January 31, 2013
Dealbook / The New York Times, 1/31/2013
The Justice Department sued on Thursday to block Anheuser-Busch InBev’s proposed $20.1 billion deal to buy control of Grupo Modelo of Mexico, arguing that the merger would significantly reduce competition in the American beer market. The deal, announced last summer, would add Corona Extra to the company’s formidable stable of brands, including Budweiser and Stella Artois.
But the Justice Department said in its lawsuit, filed in Federal District Court in Washington, that allowing the merger to proceed would reduce competition in the beer industry across the country as a whole and in 26 metropolitan areas in particular. The combined company would control about 46 percent of annual sales in the country, the government said, far outpacing Anheuser-Busch InBev’s closest competitor, MillerCoors.
August 24, 2012
Financial Times, 8/22/12
Over the past five years or so, Mexican companies have poured billions of dollars into the US as they ramp up the purchase of assets that range from banks to broadcasting companies and building-material suppliers. The push, which has gone largely unnoticed, has extended the reach of Mexican businesses that once looked exclusively to domestic customers.
Some people have even begun to call it the reconquista or “reconquest”, in reference to the recent clawing back, through demographics and the spread of Mexican-owned businesses, of territory that was once Mexican and became part of the US after the war between the countries in 1846.
June 29, 2012
Anheuser-Busch InBev NV (ABI), the world’s biggest brewer, agreed to buy the remainder of Mexico’s Grupo Modelo SAB for $20.1 billion in cash, gaining full control of the Corona maker to increase its presence in emerging markets.
AB InBev, the maker of Budweiser, said it expects the combined company to deliver cost and revenue benefits of at least $600 million annually.
June 25, 2012
The New York Times, 6/24/12
Anheuser-Busch InBev is nearing a deal to buy the half of Grupo Modelo it does not already own, according to people briefed on the matter, giving the global brewing giant control over the maker of Corona Extra beer.
A deal could cost Anheuser-Busch InBev more than $12 billion, given Modelo’s stock market value of roughly $23 billion. A transaction could be announced as soon as this week, some of these people said, though they cautioned that talks were continuing and could falter.
September 9, 2009
Photo by Guanatos Gwyn
MEXICO CITY, Sept 9 (Reuters) – Big Mexican companies like America Movil, Femsa and Grupo Modelo risk a dip in sales if lawmakers approve a bid by President Felipe Calderon to create new taxes and raise others to make up for falling government revenues.
Faced with declining revenue due to the economic slump, Calderon asked Congress on Tuesday to hike taxes on tobacco, alcohol, gambling and telecommunications. He also suggested a new 2 percent levy on all sales.