Members of the Busch family, founders of Anheuser-Busch (BUD), are acting as though they have a say in whether BUD sells out to Belgium’s InBev, but they don’t. And other shareholders, thankfully, are more open to the deal.
Augustus Busch IV, the current CEO, and his father Augustus Busch III are openly opposed to the deal. But Busch IV owns less than 1% of BUD’s stock and the family as a whole owns only slightly more than that. So the Busches can’t block a deal anyway.
Warren Buffett alone, whose Berkshire Hathaway owns 5% of BUD’s stock, has more influence and favours the deal.
“A possible merger is not a family issue,” Adolphus Busch IV wrote in a release to the newspaper. It is not “a matter of family solidarity or legacy. It is strictly a matter of shareholder value.
“It is no secret that the sluggish performance of the stock is a concern.”
Adolphus Busch, an uncle of Anheuser-Busch Chief Executive Officer August Busch IV, who controls less than 1 per cent of Anheuser shares. He told The Wall Street Journal earlier this week that some family members were open to the idea of the two brewers negotiating.
August Busch and his father, Anheuser director August Busch III, are opposed to a deal with InBev, people close to the company say, according to the Journal. Busch family members own a small percentage of Anheuser stock, so even if a majority of them were to oppose a deal, they could not block one.
Business Insider Emails & Alerts
Site highlights each day to your inbox.