Russian authorities block sale of AB InBev joint venture share

Russian authorities have blocked a deal by Turkish brewer Anadolu Efes to acquire AB InBev’s stake in their Russian joint venture, both companies confirmed.

In April 2022 AB InBev announced its plans to sell its minority stake in the AB InBev Efes joint venture. to leave the Russian market after Russia’s invasion of Ukraine.

The joint venture was founded in 2018 and combines the Russian and Ukrainian businesses of the two beer companies. According to ReutersAB InBev had already stopped selling its Bud brand in Russia and lost all financial benefits from the joint venture. As a result of the deal with Anadolu Efes, the company had reported a non-cash impairment of $1.1 billion.

Both companies agreed to the deal in December 2023, but it still had to be approved by regulators and the government.

On Thursday, August 8, 2024, AB InBev and Anadolu Efes released separate statements announcing the rejection of the approvals. Anadolu Efes said that Russian regulators had not approved the current structure of the transaction, according to a notice the company received the previous day. However, further details on the reasons were not disclosed.

AB InBev’s statement said: “Anadolu Efes and AB InBev are reviewing the decision. The business in Russia will continue to be operated under the direction of Anadolu Efes management.”

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