E-Malt.com News article: World: Coca-Cola seen as next possible takeover target for AB InBev

Analysts at Susquehanna upgraded their rating on Coca-Cola to neutral from negative, saying the company could be a takeover target if Anheuser-Busch InBev decides to move into soft drinks after its pending merger with SABMiller, St. Louis Business Journal reported on February 8.

The analysts also say Coca-Cola's profitability could be improved through better pricing in the U.S. and refranchising initiatives. Coca-Cola could improve with its own mergers and acquisitions, the analysts said, suggesting WhiteWave Foods as a target, Barrons reports.

Coca-Cola Co. shares closed nearly flat on February 5, down less than half a percent at $42.44; AB InBev shares closed down 3 percent on the same day at $118.30.

AB InBev's pending $108 billion acquisition of rival brewer SABMiller recently received clearance from regulators in India. The companies also need to win regulatory approvals in China, Australia, the U.S., the European Union, South Africa and Colombia.


10 February, 2016