Pursuits
Traders Bet AB InBev Will Cut Dividend to Pay Off SABMiller Deal
- Futures are pricing in a 33% cut to payout next month
- InBev merger with Anheuser Busch triggered dividend cut
Inside AB InBev's Proposed $106B Deal for SABMiller
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Now that Anheuser-Busch InBev NV’s takeover of SABMiller Plc is officially in the works, speculation has shifted to the fate of the Budweiser maker’s dividend.
Futures wagering on the Belgium brewer’s expected payouts have been falling along with the rising likelihood of a deal agreement -- down 18 percent since SABMiller said last month it was open to a potential offer. Contracts expiring in December now reflect that the November payout will be only 67 euro cents, a third lower than last year’s payment.