AB Inbev pulled the emergency brake on the planned IPO of its Asian business. About a week before the planned start of trading in Hong Kong, the manufacturer of beer brands such as Beck's, Budweiser and Corona announced the IPO of the Budweiser Apac division in a Friday evening announcement.
Anheuser-Busch had targeted revenue of up to 9.8 billion dollars, making the jump to the floor would be the most profitable one of the year worldwide. But insiders reported that many bids were below the range of $ 40 to $ 47 Hong Kong dollars. Anheuser-Busch attributed the decision, among other things, to "general market conditions". These would now be observed, with which the company keeps open a resumption of stock market plans.
The revenue should have helped the parent company to reduce a debt mountain, the Anheuser-Busch Inbev had accumulated with the acquisition of its rival SABMiller the end of 2016. Expectations for the IPO originally planned for July 19 were not only great in the Group itself. The cancellation also marks a setback for the Hong Kong trading center and syndicate banks JPMorgan and Morgan Stanley.
Instead of the biggest ever IPO in 2019, according to the analyst firm Dealogic, the project is now ranked third in the series of the largest ever canceled IPOs – after a Spanish lottery company in 2011 and an Asian insurer in 2010.