In July, AB InBev pulled a US$9.8 billion sale that would have been the world’s largest IPO this year after struggling to draw enough orders at the valuation sought. On that occasion, Budweiser Brewing eschewed the common Hong Kong practice of setting aside a block of stock for so-called cornerstone investors – companies, institutions or wealthy individuals that commit to invest and hold their shares for a minimum period, signaling confidence in a listing’s prospects to the wider public.
(Sept 24): The world’s biggest brewer should raise a glass to Singapore. Anheuser-Busch InBev NV can probably thank the city-state’s sovereign wealth fund for saving its Asian unit’s Hong Kong initial public offering from an ignominious second failure. GIC committed to invest US$1 billion ($1.38 billion) in Budweiser Brewing Company APAC, which raised about US$5 billion after pricing its shares at the bottom of a marketed range.
