European consumer goods correspondent
David's Feed
Jun 29, 2012

Modelo may not quench thirst for beer deals

LONDON, June 29 (Reuters) – Big brewing deals are still very
much on the agenda, even after Anheuser-Busch InBev
buys out Mexican brewer Grupo Modelo for $20.1

The world’s largest brewer may well be back on the
acquisition trail in a couple of years, bankers and analysts
say, with its biggest rival SABMiller likely in its
sights. Meanwhile some family owners of the few remaining bid
targets may be tempted to cash in their scarcity value with
other buyers.

Jun 28, 2012

AB InBev’s Modelo deal may happen Friday-sources

LONDON, June 28 (Reuters) – Anheuser-Busch InBev
could announce a deal on Friday to buy the half share of
Mexico’s Grupo Modelo it does not already own for
around $15 billion, the latest of a string of deals as big
brewers look for growth from emerging markets, people familiar
with the matter said.

The world’s biggest brewer is in advanced talks with the
family shareholders who control Modelo and bankers were working
on Thursday to put the final touches on a deal that is
anticipated to be in cash rather than shares, they added.

Jun 26, 2012

Cheaper coffee helps Egberts take on Kraft

LONDON/AMSTERDAM (Reuters) – Cheaper arabica beans and ambitious goals have given Dutch group D.E. Master Blenders 1753 (DEMB.AS: Quote, Profile, Research, Stock Buzz), maker of Douwe Egberts, a lift as it tries to overtake rival Kraft (KFT.N: Quote, Profile, Research, Stock Buzz) to become the second largest player in the coffee world.

It has the freedom and war chest to take on Kraft and emulate world No 1 Nestle (NESN.VX: Quote, Profile, Research, Stock Buzz) as it invests in its one-cup Senseo system, looks to expand outside Western Europe and perk up instant coffee output.

Jun 25, 2012

AB InBev in talks to buy Mexico’s Modelo

BRUSSELS/LONDON (Reuters) – Anheuser-Busch InBev’s (ABI.BR: Quote, Profile, Research) interest in buying the rest of Grupo Modelo (GMODELOC.MX: Quote, Profile, Research) is sparked by Mexico’s growing beer market, the potential for big cost savings and control of exports of Corona beer, but the Mexican brewer sounded cautious on Monday.

Mexico’s Modelo and Belgian based AB InBev, which has a 50.4 percent non-controlling stake in Modelo, said on Monday they are discussing expanding that relationship.

Jun 25, 2012

Modelo says in talks with Anheuser-Busch InBev

BRUSSELS/LONDON, June 25 (Reuters) – The combination of
Mexico’s growing beer market, big cost savings and control of
Corona beer exports have sparked Anheuser-Busch InBev’s
interest in a buyout of Grupo Modelo, but the
Mexican brewer sounded cautious on Monday.

Family-controlled Modelo confirmed Monday it was in talks
about expanding a relationship with the Belgian brewing giant,
but said in a statement it would be premature to speculate on
any outcome of the talks.

Jun 25, 2012

Corona beer draws AB InBev to Modelo deal

BRUSSELS/LONDON (Reuters) – Mexico’s growing beer market, big cost savings and control of Corona beer exports have attracted Anheuser-Busch InBev (ABI.BR: Quote, Profile, Research, Stock Buzz) towards a $15 billion buy out of Grupo Modelo (GMODELOC.MX: Quote, Profile, Research, Stock Buzz), sources said on Monday.

The deal would give AB InBev, the world’s largest brewer access to 2-3 percent annual growth in the Mexican market, make at least $250 million of synergies and win distribution rights to Corona, the largest U.S. imported beer brand.

Jun 20, 2012

P&G cuts forecast, will focus on big businesses

CHICAGO/LONDON (Reuters) – Procter & Gamble Co took the blame on Wednesday for a lack of big new products and not being quick enough to cut costs as it deals with persistent slowing demand in Western Europe, the United States and China.

The world’s largest household-products maker cut its growth forecasts for a second time in two months on Wednesday, as expected, and said it did not expect to repurchase shares in the coming fiscal year as it tries to maintain its “AA-” credit rating.

Jun 20, 2012

P&G cuts growth targets as China slows

LONDON (Reuters) – Slower growth in China and tough markets in Europe and the United States prompted Procter & Gamble (PG.N: Quote, Profile, Research, Stock Buzz), the world’s largest household product maker, to cut its growth forecasts on Wednesday in the midst of a $10 billion cost-cutting program.

The U.S. maker of Tide laundry detergent, Gillette razors and a host of other products also blamed the strong dollar and higher commodity costs for hitting growth after admitting it had struggled to grow operating profit over the past three years.

Jun 17, 2012

Rising African tide floats global brewers’ boats

LONDON/JOHANNESBURG, June 17 (Reuters) – An African has to
work three hours on average to afford a beer, compared with 12
minutes for a European, and yet the continent is the global hot
spot for beer growth, such that the world’s big brewers are
struggling to keep pace.

Mark Bowman, Africa boss for global brewer SABMiller
, is building new breweries in Nigeria, Uganda and Zambia
this year and expanding those in a string of other nations.

Jun 12, 2012

InterContinental sees boost from Olympic summer

LONDON (Reuters) – The world’s biggest hotelier, InterContinental Hotels (IHG.L: Quote, Profile, Research, Stock Buzz), expects its London rooms to be about 90 percent full for the Olympic Games as the world’s sports fans flock to Britain for the two-week extravaganza.

Chris Hale, the group’s head of London 2012, said its key revenue measure could also be boosted, and countered criticism that rooms during the Games are too expensive by pointing to “lots” of availability at less than 100 pounds a night.

    • About David

      "I write on and co-ordinate coverage of European consumer goods companies from London. These include food groups such as Nestle, Unilever and Danone, drinks companies like Diageo, Heineken and SABMiller, and cigarette groups British American Tobacco and Imperial Tobacco. I have previously worked in Milan covering Italian financial news and before that specialised on the car industry and the engineering sector, and also have some experience of commodity coverage."
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