ThaiBev buys Sabeco for $6.52b
It sees it fit for its emergence as the largest Southeast Asian beverage firm.
Thai Beverage Public Company Limited (ThaiBev), through its associate Vietnam Beverage, successfully bought 53.59% of Saigon Beer - Alcohol - Beverage Joint Stock Corporation (SABECO).
According to an announcement, the aggregate price for all the sold shares is at $6.52b (VND109.97t)
Vietnam Beverage submitted its bid to Thailand's trade ministry for 343,642,587 shares for a price of $18.96 (VND320,000) each.
Vietnam Beverage will be financing its payment and related transaction expenses through a mix of its existing equity capital and loans provided to it by BeerCo.
Sabeco has been known for its brands like Saigon Beer and 333 Beer. The company focuses on producing beverages and processing foodstuffs and trading beer, alcohol, and wine, amongst others.
ThaiBev said, "The Acquisition will enable the Group to expand in an important regional market for the Group’s products, increase the Group’s product offering, and provide the Group with immediate access to an extensive local distribution network. Sabeco has strong financial performance with margin expansion potential."
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