INTERNATIONAL – Anheuser-Busch (AB) InBev will kick off a second attempt to spin off its Asian business in Hong Kong with the launch on Wednesday of an initial public offering (IPO) worth up to $6.6 billion (R98bn) that could be the world’s second largest flotation this year.
The brewing giant, which in July tried to raise up to $9.8bn through an IPO of Budweiser Brewing Company APAC, said on Tuesday it would offer 1.3 billion shares at between HK$27 and HK$30 ($3.45-$3.83) apiece.
The new offering includes a rare “upsize” option that will enable the company to sell up to 36.8 percent more shares. Assuming it exercises the option in full at the top end of the price range, the sale could raise up to $6.6bn before any regular over allotment option is included.
The Belgium-based company would raise up to $4.8bn without the upsize option.
Proceeds will help AB InBev, the world’s largest brewer, reduce debts of more than $100bn, accumulated following the purchase of rival SABMiller in late 2016.