Anheuser-Busch cancels $42.5 billion of facilities after bond sale

By Marisa Wong

Morgantown, W.Va., Jan. 28 – Anheuser-Busch InBev said it cancelled $42.5 billion of its $75 billion committed senior acquisition facilities following recent capital markets issuances.

The company had obtained the following committed senior facilities to help fund its acquisition of SABMiller: a $25 billion three-year term facility A priced at Libor plus 110 basis points; a $10 billion five-year term facility B priced at Libor plus 125 bps; a $10 billion one-year disposals bridge facility priced at Libor plus 100 bps; a $15 billion one-year bridge to cash / DCM facility A priced at Libor plus 100 bps; and a $15 billion two-year bridge to cash / DCM facility B priced at Libor plus 100 bps.

The company raised net proceeds of about $47 billion from the $46 billion bond issuance announced on Jan. 13 and the $1.47 billion note issuance announced on Jan. 20, according to a Thursday news release.

Following the $46 billion bond offering, the company was required to cancel its bridge to cash / DCM facilities A and B, totaling $30 billion.

Additionally, the company chose to voluntarily cancel $12.5 billion of its term facility A.

The company said it intends to use proceeds from the announced sale of both SABMiller’s interests in MillerCoors and the global Miller brand, as well as other future disposals, to pay down and cancel the disposals bridge facility in due course.

The brewery is based in Leuven, Belgium.

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