Mexico's Modelo says unlikely to split from Anheuser
ZACATECAS, Mexico, Nov 7 (Reuters) - Mexican brewer Modelo said on Wednesday it would be unlikely to buy out its partner Anheuser-Busch Inc if the U.S. beer giant were to form a merger in the future with Belgian rival InBev.
Analysts have suggested Modelo (GMODELOC.MX) might want to repurchase a 50 percent stake that Anheuser (BUD.N) has in the Mexican maker of Corona and Negra Modelo if Anheuser-Busch tied up with InBev INTB.BR to create the world's No. 1 brewer by volume.
Modelo Chairman and Chief Executive Carlos Fernandez threw cold water on that possibility, saying the company would likely keep its ties with Anheuser whatever the future had in store.
"If, at some given moment, they decide to do something with InBev, we would be practically associated with the first place," Fernandez said.
"I don't think the board would think now of disassociating ourselves. There's a magnificent relationship with Anheuser and a great recognition of the hard work that has grown out of the years," he said.
Market speculation was heated earlier this year that InBev, the world's second-largest brewer by volume, and Anheuser-Busch might join forces. The pair already have a deal under which Anheuser-Busch distributes InBev's imported products in the United States.
Modelo has seven breweries in Mexico making 12 brews including Modelo Especial, Victoria, Pacifico and Negra Modelo. It exports to more than 150 countries. (Reporting by Chris Aspin, editing by Leslie Gevirtz)
