Japan: Asahi takes up $8 billion in short-term loans

Asahi Group Holdings will take up loans worth €7.4 billion ($8 billion) to finance the takeover of former SABMiller breweries in the Czech Republic, Poland, Hungary, Romania and Slovakia.  The Japanese brewer announced three months ago the purchase of a bundled offer of breweries in Eastern Europe as part of the AB InBev’s takeover of former rival SABMiller. These included brands like Pilsner Urquell and Kozel (Czech Republic), Tyskie and Lech (Poland), Dreher (Hungary), Ursus (Romania) and Topvar (Slovakia). The deal is expected to be completed in the first half of 2017 after approval of the European Commission. The reported purchase price is €7.3 billion ($7.8 billion).

Asahi announced on Tuesday that it will take on short-term loans from Sumitomo Mitsui Banking Corp and Mizuho Bank. This is a normal measure in financing for bridging liquidity until long term funds have been secured.

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