Kirin Defends Legality of Schincariol Deal

Japanese brewer Kirin defended the legality of its acquisition of a 50.45% stake in Brazilian brewery Schincariol for BRL3.95bn ($2.52bn). Wednesday. On Tuesday, the minority shareholders Jose Augusto Schincariol, Daniela Schincariol and Gilberto Schincariol Junior, who own the remaining 49.55% of Schincariol, objected to the sale of the majority stake sold by their cousins, the brothers Alexandre and Adriano Schincariol. They say the deal violates a company bylaw requiring the right of first refusal to be offered to existing shareholder prior to a change of control. Kirin says its acquisition remains valid and that it has proceeded with the advice of local counsel, who addressed the issue in advance.