Shareholder files suit against Anheuser-Busch

A Budweiser bottle in an undated photo. A shareholder is suing Budweiser maker Anheuser-Busch and its board of directors, claiming they failed to properly consider signs of interest in a possible takeover by Belgian brewer InBev NV.

NEW YORK (Reuters) - A shareholder lawsuit has been filed against Budweiser maker Anheuser-Busch Cos Inc (BUD.N) and its board of directors, claiming they failed to properly consider signs of interest in a possible takeover by Belgian brewer InBev NV INTB.BR.

The lawsuit, which seeks class-action status, was brought in St. Louis Circuit Court on Wednesday and named Anheuser- Busch shareholder James Mayfield as a plaintiff.

Mayfield, a resident of Anheuser's home city of St. Louis, has since asked to be removed from the case.

"(Mayfield) is concerned about emotional backlash from people in the St. Louis community ... who misunderstand the case," said plaintiff's attorney Frank Bottini in an interview.

He said another shareholder would be substituted for Mayfield, but declined to identify the new plaintiff.

Yet Mayfield said in an interview his decision was based on a misunderstanding of the nature of the suit -- which accuses members of the board of breaching their fiduciary duties and seeking to "entrench themselves in office."

The suit also alleges that Busch family members have "refused to meet with InBev and have discouraged any public bid for Anheuser-Busch by stating that no company will acquire Anheuser-Busch while they sit on the company's board of directors."

According to media reports Anheuser Chief Executive August Busch IV told a recent meeting of beer distributors the brewer his family has controlled for more than a century would not be sold "on my watch."

The suit also claims the brewer's actions are "substantially unfair to Anheuser-Busch and its public shareholders and have caused significant damage to the company and its shareholders."

Anheuser-Busch shares have been stagnant for 5 years.

Mayfield said he has other involvements than just owning shares and he wants "nothing under my name that goes negative against Anheuser-Busch."

Gary Rutledge, Anheuser's vice president of legal and government affairs, said the company has learned of the lawsuit and is reviewing its claims.

"When it comes to speculation about our business, however, Anheuser-Busch's policy has been consistent: we do not confirm, deny or comment on rumors," he said in an e-mailed statement.

Sources familiar with the situation have told Reuters and other media sources that InBev is considering a $46 billion bid for Anheuser-Busch.

No public offer has been made by InBev, the second-largest brewer in the world. Talks of a merger have periodically surfaced during the past 18 months.

The bid reported under consideration, at $65 a share, represents a 24 percent premium to the price of Anheuser shares the day before reports began circulating.

The shares closed on Friday at $57.28 on the New York Stock Exchange, down 0.8 percent.

(Reporting by Martinne Geller and Erin Zureick, editing by Dave Zimmerman and Andre Grenon)