Anheuser Busch Inbev: your Brazilian beer company

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Anheuser Busch Inbev ( BUD , quote ), your Brazilian beer company(!) is down -6% as the U.S. has filed an antitrust suit to stop its purchase of Grupo Modelo ( GPMCY , quote ).

[caption id="attachment_76922" align="alignright" width="300" caption="Anheuser Busch in St. Louis, Missouri"] Image courtesy Chris Yunker: http://www.flickr.com/photos/chris-yunker/ [/caption]

Buy this dip but not today. I believe this deal gets done with some off-loading of other assets by AB-Inbev.

The complaint:

"The U.S. beer industry - which serves tens of millions of consumers at all levels of income - is highly concentrated with just two firms accounting for approximately 65% of all sales nationwide. The transaction that is the subject of this Complaint threatens competition by combining the largest and third-largest brewers of beer sold in the United States."

Modelo offered Inbev a chance at major Mexican and Latin American growth and a label to push into the USA.



The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of The NASDAQ OMX Group, Inc.



This article appears in: Investing , International , Stocks

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