Photo: Grupo Modelo and ABI
A U.S. federal judge has approved a settlement proposed by the Department of Justice in the merger between Mexico’s Grupo Modelo and Belgium’s Anheuser-Busch InBev, the companies said.
“The Court today signed the previously announced stipulation and order between Anheuser-Busch InBev, Grupo Modelo, S.A.B. de C.V., Constellation Brands, Inc. and the Department of Justice that resolves the Department of Justice’s challenge to AB InBev’s proposed acquisition of the remaining shares of Grupo Modelo that it does not already own,” AB InBev said in a statement released Monday.
AB InBev agreed in June 2012 to acquire the 50 percent of Grupo Modelo that it did not already own for $20.1 billion.
The Department of Justice challenged the deal in January on the grounds that it would harm competition in the U.S. beer market.
Grupo Modelo, founded in 1925 by Spanish businessmen who had settled in Mexico, is the leading brewer in the country.
The company operates seven breweries with the capacity to produce 71.5 million hectaliters annually.
Grupo Modelo sells beer under 14 different brands, including Corona Extra, which has the biggest market share in the world, exporting its products to 180 countries.
The company is the exclusive importer in Mexico of Anheuser-Busch InBev’s brands, such as Budweiser and Budweiser Light.