Anheuser Busch Accepts Inbev Bid
The Wall Street Journal is reporting that Anheuser Busch has accepted a bid from Inbev to make them the largest brewer in the world. The new name of the company is going to be Anheuser-Busch Inbev.
This will now raise additional questions regarding the Anheuser Busch theme parks. We will have to wait and see what impact, if any, this merger will have on the future of their theme parks.
You can read more details about the takeover here.
Hopefully, nothing happens to the theme parks..
Is Inbev an American comapny? AB has prided itself for years on it's all American image..the signage and message around the parks is that they're the only American company left. I wonder if this changes that...
No, it is not. Inbev is a Belgian company. The headline in the St. Louis newspaper this morning was "Farewell to the King". It seems a fitting title. Inbev is a brewer that has been around since 1266.
My local paper in NC also had reported this and in some detail. I found that Wall Street Journal had the best coverage so far. Check it out if interested.
Listening to the radio this morning, if the merger is approved by the shareholders and government regulators, the word is starting to come out that they may split the brewery and theme parks. They were also saying that they may sell the theme parks. This will be something to follow for sure. I think we have more coverage here given the fact that Busch Gardens Europe is nearby.
In-Bev already stated that they would sell off the parks to finance the merger. And, I can't see that changing, considering that they upped the buy-out bid. The one thing that bugs me, is that A-B wasn't up for sale to begin with. And, I don't agree with an American company just selling themselves. A-B was a world leader in more ways than just beer. I hope that nothing changes here in St. Louis.
Thats bull...and i thought today was going to be a good day. This is infuriating to me. Anheuser Busch has been putting out new TV ads stating how much an American company owned it is and how proud they were of it and they turned around and did this? I'm so mad i'm practically speechless. I expect the parks to take a turn for the worst, but i pray that i'm wrong.
If Inbev sells the parks, I hope Universal can find the cash to buy them. Except for the Virginia park, Disney won't be interested. Universal and Busch already have a sort of union with the Flexticket. If Universal owned the Busch parks, it would be some serious competition for Disney. Plus, Universal is the only company I trust with keeping the quality of the Busch parks.
I am sad to see this happen as well but I can't see how anyone can put the blame on Anheuser Busch. If anyone has taken any type of Business Finance course, one of the first thing you learn is that the board of directors of any company that is publicly traded job is to "increase shareholders wealth."
It's really sad to see this happen. I so worried about the parks and whoever owns keeping with the great quality that I have always loved. This really blows
This blows, period….
Actually, U.S.-based airlines cannot be foreign-owned, by federal law. That's why Richard Branson couldn't own Virgin America, when that airline launched. And non-U.S. airlines routes to/from the United States are highly restricted.
Just like everyone else, I don't like the fact this is happening either. However, at the same time, I am not surprised it is happening either. Inbev has been trying for a while to merge with AB. Given the options they had, it was probably a good time to do it. Had they not taken the offer, Inbev would have gone the route of making it a hostile takeover, where they would buy up enough stock to be able to gain ownership. The Busch family only had about 20-25% of the stock in the company. It would not be enough for them to be able to retain it, unless they would be able to pay more to puchase up the additional stocks. The other dilemma they had too is that their second largest shareholder, Warren Buffet, also signaled that the merger would be a good idea, which I disagree with.
In Bev wants to be the largest Beverage company in the world,period. So by taking over #3 company they solidify their position at the top for a long time even if they lose money on the deal. That's why they are willing to bid $70 a share and as it was pointed out the board of directors of any publicly traded company is there to make money for the share holders. I'd vote no on approving the sale but will take a lot of like minded Americans to keep A-B an American company. Looks like I'm going to have to find another beer to make beer-can chicken (Bud has been the best one to use IMHO.
The Chrysler building was bought by a sovereign fund in Abu Dhabi, not Dubai. It was a 90% stake but they do not have controlling interest. Furthermore they do not own the land underneath the building, which is what really matters.
When I heard the news I thought about Disney. How the company has only been owned by a single corporate entity through its entire history. It's one of those qualitative aspects that makes it stand head and shoulders above other park operators.
Big BillBoard poster on the corner of SandLake and International Drive here in Orlando, noticed it today.
Not good news for the parks. I seriously doubt that Inbev will keep them. It's foolish to cut something that is a profitable business, however corporations can be quite foolish, and this one will probably be getting out the chainsaw to cut costs.
As I stated upthread the most likely buyer is Merlin, which is the second biggest theme park operator in the world with only one park in the US (Legoland). If they have the capital, then I see them as likely to buy the parks.
Well think about this, the Dubai company, Nakeel could possbily purchase the entertainment division. They have so much invested in them right now...they are paying big bucks to AB to license the names and use management to run the new parks in Dubai. Anyone hasn't seen this coming...they moved BEC corporate to Orlando, they rebranded from Anheuser-Busch Adventure Parks to Worlds of Discovery...hmmmmm Makes you wonder.
It's really sad that this happened but you can't blame Busch. When AB rejected the original offer of $65 a share, they had plans to drastically cut expenses in order to appease the shareholders. With a new bid of $70 per share, there was no way they would be able to cut expenses or boost profits enough to counteract giving up that high offer price. It truly is sad especially since the company is still family run. The current CEO was the great-great-grandson of the founder.
It's just another buck to be made in the stock market trade... When customers are seen as "revenue units," and loyal employees relegated to "headcount," then values like patriotism and national pride just don't matter.
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