AB InBev Hopeful on Modelo Deal

Anheuser-Busch InBev (AB InBev) says it is in talks with the US Department of Justice to resolve the lawsuit seeking to block the purchase of Grupo Modelo, it says, and has asked to suspend the litigation until March 19. The global brewer is hoping its agreement announced last week to sell to sell a Mexican brewery and control of the Corona brand in the US to Constellation Brands for $2.9bn will satisfy regulators. The government is worried that the combination of Ab InBev and Modelo would control too much of the US beer market. Analysts expected that the $20.1bn deal agreed last year to buy the remaining 50% of the Mexican Brewer could proceed following last week’s Constellation agreement.