Constellation Brands Reveals New Agreement
An update on Constellation Brands and its proposed acquisition of Group Modelo.
The acquisition was put on hold when the Department of Justice filed an anti-trust lawsuit against Anheuser-Busch InBev's proposed acquisition of Grupo Modelo, saying it would ultimately drive the cost of beer up.
Thursday, Anheiser-Busch InBev and Constellation Brands have announced a revised agreement.
The agreement makes Crown; a fully owned entity of Constellation and gives Constellation independent brewing operations Modelo's full profit stream from all U.S. sales and rights to the Grupo Modelo brands distributed by Crown in the U.S.
The agreement still needs to be approved by the Department of Justice.