The transaction establishes Crown as a fully owned entity of Constellation, and provides Constellation with independent brewing operations, Modelo’s full profit stream from all US sales, and rights in perpetuity to the Grupo Modelo brands distributed by Crown in the US.
As part of AB InBev’s acquisition of the 50% of Grupo Modelo it does not already own, AB InBev has agreed to sell Compania Cervecera de Coahuila, Grupo Modelo’s brewery in Piedras Negras, Mexico, and grant perpetual brand licenses to Constellation for $2.9bn, subject to a post-closing adjustment.
AB InBev and Constellation have agreed to a three-year transition services agreement to ensure the smooth transition of the operation of the brewery.
Source: Constellation Brands
© FoodBev Media Ltd 2024