Johannesburg - Anheuser-Busch InBev, which is on its way to become the world’s biggest brewer, has announced its new organisational structure.
This follows the brewer’s announcement on Tuesday that it expects its more than R1.6 trillion purchase of SABMiller to be wrapped up on October 10.
AB InBev has already received approvals for the deal in 23 jurisdictions, including South Africa, the US, China and EU. It recently increased its offer to SABMiller shareholders to an all cash offer of R831 a share and a partial share alternative, which is available for 41 percent of the SABMiller shares. AB InBev had to increase its previous offer after the value of sterling weakened in the wake of the UK’s vote to leave the EU.
The brewer says the “organisational design would allow the combined group to focus on delivering its ambitious long-term organic growth objectives while integrating the two businesses, capturing the best of both”.
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The combined group will be headquartered in Leuven, Belgium, and will have its global functional management Office in New York. It intends keeping a presence will be retained in SABMiller’s UK offices in Woking for people working on integration and business continuity for a transitional period.
Zones
AB InBev adds the combined group will be organised into nine geographical zones:
1. North America (headquartered in St. Louis): United States and Canada
2. Middle Americas (headquartered in Mexico City): Mexico, El Salvador and Honduras
3. Latin America North (headquartered in São Paulo): Brazil, the Dominican Republic, Guatemala, Panama, St. Vincent, Cuba, Puerto Rico, Barbados, Dominica and the Caribbean
4. Latin America South (headquartered in Buenos Aires): Argentina, Uruguay, Chile, Paraguay and Bolivia
5. Latin America COPEC (headquartered in Bogotá): Colombia, Peru and Ecuador
6. Europe (headquartered in Leuven): UK, Ireland, France, Italy, Spain, Germany, Belgium, Luxembourg, the Netherlands, Switzerland, Austria, Ukraine, Russia and Export Europe and Middle East (EEME)
7. Asia Pacific North (headquartered in Shanghai): China, South Korea and Japan
8. Asia Pacific South (headquartered in Melbourne): Australia, New Zealand, India, Vietnam and other South and Southeast Asian countries
9. Africa (headquartered in Johannesburg): South Africa, Botswana, Swaziland, Mozambique, Malawi, Namibia, Zambia, Lesotho, Uganda, Ethiopia, African Islands, Tanzania, South Sudan, Kenya, Nigeria and Ghana.
Phasing out
After the zones are established, AB InBev will phase out existing SABMiller hubs in Miami, Hong Kong and Beijing.
“The future of the SABMiller Europe hub in Zug will be determined as part of the process of divestment of SABMiller’s Central and Eastern European businesses, which, will be implemented following completion of the combination.”
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Carlos Brito will remain the joint company’s CEO, while SAB MD Mauricio Leyva will become zone president of Middle Americas. No mention is made of Alan Clark, currently SABMiller’s CEO.
Locally, Jabu Mabuza - currently Telkom chairman - will be chairman of the Africa board. Yokesh Maharaj, currently sales and distribution director for SAB, will head up South Africa, succeeding Leyva.
IOL