Coca-Cola Amatil (CCL.AU) and SABMiller Plc.(SAB.JO) are amending the terms of their joint venture amid a bid for the South African listed brewer to bid for Australian beer maker Foster’s Group Ltd. (FGL.AU).
Coca-Cola Amatil said in a statement its arrangement surrounding its existing joint venture, Pacific Beverages, limit SAB Miller’s ability to buy shares in Foster’s in its own right. A spokesman for SAB Miller declined to comment.
Under the changes to the joint venture, if SAB Miller makes an offer for Foster’s within five years and acquires at least 50.01% of the company, SAB Miller is entitled to acquire Coca-Cola Amatil’s interest in Pacific Beverages and Coca-Cola Amatil will have the right to take over parts of Foster’s business.
“These amendments are designed to deal with the situation where SAB Miller wishes to acquire FGL and we don’t,” said Terry Davis, managing director of Coca-Cola Amatil.