AmBev Raises Stake in Quinsa to 97.16%
LUXEMBOURG, Aug. 8 /PRNewswire-FirstCall/ -- Quilmes Industrial (Quinsa) Societe Anonyme (NYSE: LQU) ("Quinsa") announced today the completion of the transaction announced on April 13, 2006, between its two largest shareholders. Under the terms of the transaction, Beverage Associates (BAC) Corp. ("BAC") sold all of its remaining 34.46% economic interest to Companhia de Bebidas das Americas -- AmBev ("AmBev") for a total purchase price of US$1.25 billion. As a result of this transaction, AmBev now owns a 91.18% economic interest (which represents a 97.16% voting interest) in Quinsa.
As a result of the closing, the shareholders agreement among Quinsa, AmBev and BAC that provided for joint control of Quinsa and shared board representation by BAC and AmBev was terminated. AmBev now has the voting power to determine all matters requiring Quinsa shareholder approval, including the power to select and elect all of Quinsa's directors, alone. The directors previously elected upon the proposal of BAC have resigned as of the date hereof.
Quinsa is the largest brewer in Argentina, Bolivia, Paraguay and Uruguay, having a share of the Chilean market as well. It also is the sole Pepsi bottler in Argentina and Uruguay.
AmBev is the largest brewer in Brazil and in South America through its beer brands Skol, Brahma, Antarctica. AmBev also produces and distributes its own soft drink brands such as Guarana Antartica, and has franchise agreements for Pepsi soft drinks, Gatorade and Lipton Ice Tea. AmBev has been present in Argentina since 1993 through Brahma.
CONTACT: Francis Cressall Quilmes Industrial (Quinsa) S.A. +011-54-11-4349-1846
SOURCE Quilmes Industrial (Quinsa) S.A.
CONTACT: Francis Cressall, Quilmes Industrial (Quinsa) S.A., +011-54-11-4349-1846 -0- Aug/08/2006 20:27 GMT