Beer Titans Battle For Legendary Canadian Brand

Forbes: Yesterday Adolph Coors said it would offer an additional $1.81 per share, or 6%, to Molson shareholders in order to head off growing resistance and a rival offer from SABMiller. Though the Molson shareholder is now getting a better than “equal” deal, no one seems to be toasting their good fortune.
Though Coors sells a lot more beer than Molson, Molson has traditionally been more profitable, and it is the Molson partisan who has expressed dissatisfaction with the alleged equality with Coors. Pressure on the dealmakers mounted, and London-based brewer SABMiller has swooped in with its own proposal.
Shareholders of both companies are scheduled to vote on the transaction Jan. 28. If it goes through, the combined Coors-Molson brewery would have sales of more than $6 billion per year. Colorado-based Coors is currently the world’s 8th-largest brewer, and Molson is ranked No. 15.
SABMiller executives reportedly still think they can secure a deal with Molson. It has ample financing if the Coors merger falters.

About David Burn

Co-founder and editor of AdPulp. I wrote my first ad for a political candidate when I was 17 years old. She won her race and I felt the seductive power of advertising for the first time. I worked for seven agencies in five states before launching my own practice in 2009. Today, I am head of brand strategy and creative at Bonehook in Portland, Oregon.