A joint bid for Foster’s by Molson Coors Brewing (TAP) and Mexico’s Grupo Modelo seems unlikely after Modelo executives chose not to put the proposal up for vote at a board meeting on Monday, according to The Wall Street Journal.
The Corona beer maker and the U.S.-Canadian beer giant had been exploring the idea of making a joint offer for Australia’s largest brewer, according to the report, which cites people close to the matter.
Foster’s, which recently spun off its wine business, is considered an attractive acquisition target for larger brewers and private-equity companies. While the company, which has a market capitalization of $9 billion, has not officially started looking for a suitor for either business, according to the sources, it would consider offers.
The two companies had not yet reached out to Foster’s, but were reportedly studying the possibility of a joint venture with their financial advisors.