Printer Friendly

Molson/Miller offer more deal details.

In our January 18th issue, we ran our first report of the Miller Brewing Company's purchase of a 20-percent stake in Molson Breweries. Since that time, additional particulars of the deal have been publicized.

Molson called the deal a "strategic alliance," intended to grow Molson's market position in the United States. Of the $348 million Miller paid in the deal, Molson's share is $180 million (Canadian). This yields an approximate valuation of $2.6 billion for Molson Breweries, analysts said.

A Molson spokesperson also reported that the company has granted Miller an exclusive license over Molson and Foster's brands in the U.S., with the brand owners maintaining the right of review and approval over brand strategies in the U.S.

Molson Breweries will continue to produce and market Miller brands in Canada, and all partners will be represented on the Molson Breweries partnership board.
COPYRIGHT 1993 Business Journals, Inc.
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Title Annotation:Miller Brewing Co.'s Molson Breweries investment
Publication:Modern Brewery Age
Date:Feb 1, 1993
Previous Article:A-B to sell off distribution system in New Jersey.
Next Article:Government orders all nutrition labels removed from beer.

Related Articles
Pabst may challenge Miller/Molson deal.
Pabst and Pearl file anti-trust suit over Miller-Molson link-up.
Miller completes Canadian deal.
Foster's Brewing reports pretax profit.
Molson U.S.A. moves to consolidate Martlet/Century brands in Miller houses.
Asahi and Molson U.S.A. will sell dry beer in U.S.
Foster's hopes for "solid profit" in '94, sees Miller alliance as benefit.
Louis Glunz and other Illinois distributors fight Miller efforts to take Molson brands.
Coors seeks to end licensing agreement with Molson.
Molson and Foster's Brewing Group buy back Miller Brewing Co. stake, become partners in U.S.

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters