The Australian brewer and winemaker Foster's is expecting to raise around A$1.5 billion ($1.1 billion) from the spin off of its pubs business Australian Leisure & Hospitality (ALH).

The off-market sale to institutions closed at A$2.50 a share, at the top end of expectations after a range of A$2-to-A$2.50 was set for institutional investors.

The price per share was priced at 14.9 times forecast earnings for the year ending June 2004.