Losing a battle may cost brewer the war

June 2004
Media: Asia's Media & Marketing Newspaper;6/18/2004, p27
After losing the takeover battle against bitter rival Anheuser-Busch Cos. Inc. for Harbin Brewery, many might question whether SABMiller PLC is in danger of losing the larger beer war currently taking place in mainland China. Despite the adverse publicity the brand has suffered over its short-lived Harbin Brewery tie-up, the Anglo-South African brewery exits with US $211 million in proceeds, money that it will reinvest to ensure that Harbin faces serious cost pressure in SABMiller's Northeast stronghold. By any measure, SABMiller has made a nice profit, and the financial community evidently agrees, if the company's rising share price is any indication.


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