World’s largest brewer, Anheuser-Busch InBev (AB InBev) said on Friday that it has completed the proposed 50:50 merger with Turkey’s leading brewer Anadolu Efes’ existing businesses in Russia and Ukraine, but the terms of the agreement were not disclosed.
AB InBev recently announced that the companies had received all required regulatory approvals in Russia and Ukraine and had executed relevant binding transaction agreements following the original announcement of the transaction in August 2017.
AB InBev said that the intended combination of the companies’ operations in Russia and Ukraine would strengthen the competitive position of both brewers’ brands in these markets, with the potential for further growth.
The combined business’ ambitions would be to lead the Russian and Ukrainian markets, with a diverse portfolio of brands and a broader range of beers for consumers.
The merger follows AB InBev’s acquisition of a 24 percent stake in Anadolu Efes as part of the company’s combination with SABMiller, which completed in October 2016.
Following the closing of the transaction, the operations of AB InBev and Anadolu Efes in Russia and Ukraine are now combined under AB InBev Efes.
AB InBev said that the combined business will be fully consolidated in the Anadolu Efes financial accounts. As a result, AB InBev said it will stop consolidating these operations and account for its investment in AB InBev Efes under the equity method.
AB InBev Efes will build on the strengths of the combined AB InBev and Anadolu Efes portfolio of brands, including both leading international and local brands.
