I became an honorary Gin Rectifier last night (May 9). I took an oath and now I am duty bound to promote the best interests of gin.
The deal, which according to the Australia-based brewer has an enterprise value of AU$12.3b, will see Fosterís shareholders receive AU$5.53 per share, a 13% increase on the originally proposed AU$4.90 per share.
Fosterís chairman David Crawford said: ďThis is a compelling proposal from SABMiller and represents the value inherent in this iconic Australian company and in its brands and people.
ďThe boardís primary concern has been and continues to be to act in the best interests of Fosterís shareholders and maximise value for them.
ďThe board believes SABMillerís revised proposal of †$5.5325 cash per share, which includes the 13.25 cents final dividend, reflects compelling value for Fosterís shareholders and delivers certain cash proceeds in an uncertain global economic environment with high equity market volatility.Ē
According to Fosterís, the transaction is subject to the shareholder approval of the ĎCapital Returní and ĎScheme Implementation Deedí, but is expected to be completed before the end of calendar 2011.Ē
Commenting on the agreement, SABMiller's chief executive, Graham Mackay, said:†"Foster's will become an important part of our business, and through the application of our commercial capabilities and global scale, we expect to build on the initiatives that Foster's management has put in place, further enhancing Foster's performance and creating value for our shareholders.
"Foster's has a long-standing and proud reputation as one of the leading companies in Australia. We look forward to working with Foster's employees and other stakeholders to ensure the success of Foster's in the future as the largest brewer in Australia with an outstanding portfolio of brands."†