Courtesy of Benzinga
Craft Brew Alliance (NASDAQ: BREW) shares have more than doubled on Tuesday after Anheuser-Busch (NYSE: BUD) agreed to purchase the remaining shares of the company it does not already own in a merger transaction for $16.50 per share in cash.
Anheuser-Busch already owns a 31.2% stake in Craft Brew Alliance. The transaction is subject to customary closing conditions and is expected to close in 2020.
“Anheuser-Busch has a long track record of working with its craft partners to help make the U.S. beer category stronger and more vibrant,” said Michel Doukeris, CEO of Anheuser-Busch. “Our partnership with CBA goes back many years and we look forward to supporting CBA as they continue to bring great products to beer drinkers across the U.S.”
In the last three years, Anheuser-Busch says it has invested more than $130 million in its craft partners, allowing them to expand their production volume by an average of 31%.
Craft Brew Alliance shares were trading up 122.24% at $16.29 in Tuesday’s pre-market session. The stock has a 52-week high of $17.40 and a 52-week low of $7.11.
Anheuser-Busch shares were trading up 1.33% at $79.76 in Tuesday’s pre-market session. The stock has a 52-week high of $102.70 and a 52-week low of $64.54.
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