Major SABMiller investor rejects sweetened takeover offer from InBev

LONDON, July 26 (UPI) -- Belgium-based Anheuser-Busch InBev raised its offer for London-based SABMiller in a proposed $100 billion-plus beer megamerger, but a major investor rejected the proposal Tuesday.

Aberdeen Asset Management said the sale of SABMiller to AB InBev "remains unacceptable," despite improving its all-cash offer for the company by 2.3 percent to $103.6 billion.

The new terms come after a steep decline in the pound because of Britain's decision to leave the European Union. The original offer was worth about $108 billion at last November's exchange rates.

AB InBev, the world's largest brewer, said the new offer for the second-biggest brewing company was its last.

But Aberdeen Asset Management said it's not good enough.

"The revised deal remains unacceptable as it both undervalues the company and continues to favor SABMiller's two major shareholders," the fund management giant said. "In the absence of an improved offer we would be more than happy to remain committed long-term shareholders in SABMiller."

Aberdeen wants tobacco firm Altria and Colombia's Santo Domingo family, which own about 40 percent of SAB, to be excluded from voting on the all-cash offer.

"Altria and BevCo should not be able to vote on the cash offer as they are inherently conflicted by their future stakes in AB InBev if the deal completes," Aberdeen argued. "We believe the board's only choice is to treat Altria and BevCo as a separate class of shareholders and would urge them to make a public statement to this effect."

SABMiller, in a statement, said it has hired Centerview Partners for financial advice and its board would consult with shareholders and meet to formally review the offer.

AB InBev's stock is traded in euros, which makes its shares more valuable than the cash offer in pounds.

If the merger falls apart, AB InBev will pay SABMiller a $3 billion breakup fee.