Anheuser-Busch InBev (BUD), Grupo Modelo and Constellation Brands (STZ) confirm a tentative agreement with the U.S. Department of Justice to allow their three-way beer deal to get approved. BUD says the new agreement, which isn’t finalized, would be “substantially in line" with revised terms that give more control of Modelo's U.S. beer brands to STZ.
AB InBev (BUD) is reportedly close to agreeing to a settlement with the Department of Justice that would persuade the DOJ to approve the company's $20.1B bid to take full control of Modelo, with an announcement set to be made next week. The sides have until Tuesday to update a federal judge on their progress but might request a short extension.
Constellation Brands (STZ) +3.1% AH as AB InBev (BUD), Grupo Modelo and the Justice Department ask a federal court to allow more time for settlement talks that could resolve a government lawsuit challenging the companies' planned merger. After DoJ sued to stop the deal, BUD agreed to sell a Modelo brewery in Mexico to STZ for $2.9B and grant STZ perpetual rights for Corona and other Modelo brands in the U.S.