Castel denies talks with SABMiller on African beer unit sale.
French drinks group Castel said yesterday it is not negotiating a possible sale of its African beer operations to London-based SABMiller (LON:SAB), which is the second-largest brewer in the world.
The Times of London reported earlier on Thursday that the two companies were in talks on a potential deal that could fetch more than GBP6bn (USD9.5bn/EUR6.8bn).
The two companies entered a strategic alliance in 2001, under which SABMiller took over a 20% stake in Castel's beer and soft drinks operations in Africa, and the French group acquired a 38% stake of SABMiller's African subsidiary.
SABMiller has brewing and beverage operations in 14 African countries.Country: Africa, Sector: Food/Beverages/TobaccoTarget: Vendor: Castel GroupDeal size in USD: 9.5bnType: DivestmentStatus: DeniedComment: The deal size is suggested
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