USA: Foster's made "takeover of the decade" with Beringer deal
David Goldman, a securities analyst with SunTrust equitable Securities, said yesterday that the A$2.6 billion acquisition plucked the largest listed wine company off the US share market, leaving the sector "looking like a flat tyre".
He said: "I take my hat off to Foster's for the best value takeover deal of the entire decade. The purchase price was at the lower end of its potential value," he said.
Goldman, speaking at a wine industry symposium, believed that the Beringer deal would be followed up by far more expensive acquisitions in the future, as the world's drinks companies fought to consolidate and grow in an increasingly profitable wine industry.
Furthermore, although US wine stocks were historically unpopular, the US industry was wide open to further takeovers because of its relative share market under performance.
He said that wine consumption in the US would double by 2005 and expand even more rapidly from 2010 and 2015. Foster's wine arm Mildara Blass would benefit from the foothold it now had in the market.
Beringer on the other hand, would benefit from Foster's world-class distribution network.
A revised assessment by Southcorp's independent expert has valued the company's shares closer to the bid value offered by Foster's Group....
Australian liquor giant Foster's bid for winemaker Southcorp is gathering momentum....
As one takeover story trundles on, another one has just moved up a gear....
The chief executive of Foster's believes the global premium wine industry is on the upturn....
Foster's Group Ltd is expected to announce that it is lifting its offer for fellow Australian Southcorp, transforming three months of corporate hostility into a friendly takeover....
Shares in Southcorp and Foster's have been halted from trading, pending an announcement....
Southcorp's share price has dropped below the offer price made by Foster's for the first time today (18 April)....
Foster's Group is considering upping its bid for Southcorp prior to extending its offer once again....
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