Budweiser beer maker AB InBev exploring IPO of Asian business in Hong Kong
- The listing of a minority stake in the Asian business would be dependent on valuation and prevailing market conditions, AB InBev said
- The IPO would come nearly three years after AB InBev’s massive acquisition of rival SABMiller
AB InBev, the world’s largest brewer, said on Tuesday that it was exploring a potential IPO of its Asia-Pacific business in Hong Kong.
As part of its first-quarter results announcement, the maker of Budweiser, Corona Extra and Stella Artois, confirmed earlier media reports that it was considering listing a minority stake in the business on the Hong Kong stock exchange. Its Asia business includes operations in Australia, China, India and South Korea.
Analysts have previously said the overall Asia business could be valued at about US$50 billion. Bloomberg, however, reported earlier this year that the business could be valued at as much as US$70 billion in an IPO.
“Proceeding with a listing will depend on a number of factors, including, but not limited to, valuation and prevailing market conditions,” the company said. “The merits of this initiative are based upon the creation of an APAC champion in the consumer goods space.”
AB InBev did not release any details about a potential valuation or timetable for listing its shares on Tuesday.
The Leuven, Belgium-based company said that its portfolio of brands and size would provide “an attractive platform for potential M&A in the region” and would accelerate its efforts to cut the company’s debt.