19 Nov 2008

Belgian brewer completes Budweiser merger

6:14 am on 19 November 2008

Belgium-based brewer InBev has completed a $US52 billion takeover of Anheuser-Busch to create the world's largest brewer.

Anheuser makes Budweiser - the most popular beer in the United States - and InBev produces Stella Artois and Beck's.

InBev agreed to sell its Labatt USA business and associated licenses to get approval from the US Justice Department on anti-trust grounds.

InBev was itself formed by a giant merger of Brazil's AmBev and Belgium's Interbrew several years ago.

It has promised that Budweiser's headquarters would remain in St Louis, Missouri and none of Anheuser-Busch's US breweries will be closed.

The combined business will have annual sales of $US36.4 billion, equivalent to 46 billion litres of beer a year.

Anheuser-Busch controls nearly half of the US market, while InBev is strong in Western European and Latin American markets. It also owns stakes in Mexican brewer Grupo Modelo and Chinese brewer Tsingtao.