Analysts at UBS Investment Research have cut their rating from neutral to buy on the brewer Quilmes Industrial, or Quinsa.

Quinsa has announced a tender offer for 8.4m Class B shares at a price range between US$8 and US$9.50 per share.

In a research note, UBS said: "After the tender, Quinsa's free float will fall to levels that we only expected to see at the end of 2005 from ongoing share buybacks."

UBS Investment Research also cut its price target on Quinsa's ADRs to US$20 from US$29 "to reflect a shrinking float and rising investor fear of possible mistreatment of" minority shareholders.