AB InBev, which is accustomed to "buy, buy, buy", has shot again!

There is no shortage of mergers and acquisitions in the beer market, but AB InBev's $44 billion purchase price is still stunning.

It was the second-largest deal in the history of the world beer industry, after its $52 billion merger with Budweiser in '08.

Budweiser is the No. 1 beer brand in the United States, and it is a well-deserved "white rich beauty" in the eyes of people, and the price of 52 billion US dollars is even considered;

The attitude of Qingyuan Beer, or Jiagu Group, is unknown. For a time, this sky-high "marriage proposal" made a big splash all over the world.

The hopes of the Jiagu management came true, although most of the time it was doubtful, but Qingyuan Beer successfully "became famous" in the world.

– This culminated in a Wall Street Journal feature on the acquisition:

"Maybe AB InBev's offer is debatable, but Qingyuan Beer is a company, no one can deny that it has created a legend!

In 7 years, an enterprise established at the beginning of the century, from scratch, Qingyuan Beer has grown from 250,000 tons to 10 million tons, and has successfully topped the first place in China's beer sales. This rate of growth is truly amazing.

As we all know, China's beer industry is one of the most ferocious markets in terms of price fighting, and the practice of "lowering prices and expanding sales" has become a method used by the entire industry to this day.

However, the results of all price wars tell us that it is consumers who ultimately benefit from relying on low-price strategies, and it is always the enterprises themselves and the entire industry that are hurt.

However, in less than ten years, the sales volume of Qingyuan beer has skyrocketed by more than 40 times, and has achieved a staggering growth rate, and the growth of overall sales volume, profit contribution rate and total profit is far ahead of most products in the beer industry, so it must be doing something right.

So what's the right thing to do?

Throughout the development history of Qingyuan Beer, we believe that it is a product!

In fact, an ordinary consumer understands that an enterprise, even if your enterprise development strategy and enclosure layout strategy are excellent, but the product is not up to par and is not recognized by consumers and the market, everything will be in the water.

Therefore, Qingyuan Beer was able to create such a legend, become a sales champion, and even changed the pattern of China's beer industry.

Qingyuan Beer has recently launched a new popular beer product in the Chinese market and the Southeast Asian market, which fully proves this, and this is a beer company with strong innovation ability. The product comes first, which determines the leading and invincible of Qingyuan Beer.

Therefore, AB InBev intends to acquire Qingyuan Beer, not so much because it hopes to have more market discourse, but because it covets this kind of product innovation ability.

If Qingyuan Brewery is a publicly traded company, we would advise investors to buy its shares vigorously, and if we ask if it can reach a market value of $44 billion, we will answer in the affirmative, absolutely!

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This report is undoubtedly an endorsement of the merger initiated by AB InBev, but the funny thing is that the market reaction is not to buy it.

Many AB InBev investors are in an uproar, this is actually a beer company that has only been established for seven years, and it has not yet stepped out of Asia, AB InBev's initial offering of more than $20 billion is reasonable, but now it has almost doubled?

AB InBev is well-funded, but the problem is high debt, isn't it brain-dead?

You know, AB InBev only launches a major acquisition almost every four years, because the high cost after the merger is a headache - less than two years after the acquisition of Budweiser, AB InBev is still cutting production and distribution costs, and the debt pressure is really not easy.

Minority shareholders' concerns about its debt are fed back into AB InBev's share price, which continues to fall slightly.

AB InBev was under tremendous pressure to wish that the story had never appeared.

Because, public opinion on the Chinese side also exploded!

Qingyuan Beer has a 20% market share in China's beer industry, while AB InBev is the fourth largest beer company in China. The industry bluntly said that once the two merge, the two will occupy more than 30% of the market share in China, directly changing the rules of the game in China's beer industry.

Whether it is based on competition or national brand sentiment, the reaction to this merger and acquisition from both inside and outside the domestic industry is mostly strongly opposed.

-- It has been proved that it is not easy to accomplish one thing, and it is too simple to accomplish one thing if it is not possible, let alone in such a stormy situation.

After several rounds of "serious" negotiations with AB InBev, Jiagu accepted it and formally rejected AB InBev's cash-and-stock acquisition plan.

Qingyuan Beer issued a statement saying that the acquisition was not in the best interest of the company and that its strategic plan "could create more value" — not to mention the regulatory risks associated with the deal, and there was also "uncertainty" about the value of AB InBev's non-voting shares......

So far, this ups and downs of the "super merger and acquisition" ended in failure!

– Of course, this is once again making headlines in the major financial media.

Again, that's $44 billion! For ordinary enterprises, let alone refusal, no one can be regarded as determined!

How much I didn't look down on Qingyuan Beer before, at this time, it was unbelievable that it simply rejected AB InBev's shocking "rewry-price"!

And the aftermath of this shock has just begun!

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AB InBev's desire to swallow the emerging giants in one bite has been disappointed!

The current president, Brito, didn't have time to get annoyed, and he began to think about how to deal with the threat posed by Qingyuan Beer.

Although AB InBev is still the "leader" in the industry, AB InBev's flagship product, Budweiser Beer, is facing a ceiling in the North American market, while the South American market, including Brazil, is also facing a slowdown in growth.

——Since there is no revolutionary product comparable to "ice source" beer for the time being, AB InBev will maximize the advantages of the distribution network.

He has set his sights on South African Miller, the world's second-largest beer producer, and if it can merge with South African Miller, AB InBev could achieve its ambition to hold the power of life and death in global beer distribution.

No one knows that AB InBev, which has just experienced a failed setback in a big merger, is immediately brewing the next shocking merger.

Qi Zheng didn't know that because of the threat of Qingyuan Beer, AB InBev's interest in merging the "second" in the industry was nearly five years ahead of schedule!

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