SABMiller’s A$9.9 billion ($10.2 billion)
recommended cash offer for Australian liquor company
Foster’s Group is structured through a scheme of
arrangement and utilises cash-settled equity swaps, it has been
The scheme, announced on Wednesday, contains a recommended
cash offer of A$5.10 per Foster’s share.
Foster’s will pay shareholders a return of capital
of A$0.30 per share as part of a capital management initiative,
which is subject to approval by the Australian Tax Office and
is a condition precedent.
The acquisition is financed by internal resources and
committed financing, while the cash cost was reduced by A$69
million by entering into a number of cash-settled equity swap
contracts. These swaps, which have exposure equivalent to 78
million shares, represent 4% of issued...