ABInBev Reportedly Discusses Raising SABMiller Bid To About 43 Pounds

(RTTNews) - Belgian brewer Anheuser-Busch InBev NV, known as AB InBev (BUD, AHBIF.PK) has discussed raising its takeover bid for British brewer SABMiller Plc. (SAB.L, SABMRY.PK) to about 43 pounds or $66 per share, still below the target company's desired price and leaving the two sides at odds days before a deadline expires for a formal offer, Bloomberg reported citing people familiar with the matter.

SABMiller reportedly wants AB InBev to pay a price closer to 45 pounds per share. SABMiller, which hasn't entered formal talks with AB InBev because it views the proposed bid of 42.15 pounds as too low, must agree to a deal or seek an extension by 5 p.m. on October 14 or else the transaction risks falling apart. AB InBev has yet to agree on whether to raise its offer.

On Wednesday, SABMiller said its board rejected the revised offer from AB InBev, stating it still very substantially undervalues SABMiller, its unique and unmatched footprint, and its standalone prospects.

AB InBev then boosted its offer to acquire SABMiller to 42.15 pounds per share in cash, with a partial share alternative available for about 41 percent of the SABMiller shares.

AB InBev had previously made two offers - of 38.00 pounds per share in cash and 40.00 pounds per share in cash - that were rejected by the brewer of Peroni and Foster's beer.