GOLDEN, Colo. - Adolph Coors Co. shareholders overwhelmingly approved a merger with Canada's Molson Inc. on Tuesday, one of the last steps in a $3.4 billion deal that will combine two family-run breweries hoping to keep up with the race for new international markets.
The deal won support from 92 percent of Coors stockholders, the company said. It was approved last week by Molson shareholders.
"This is a momentous time for our company," Coors board chairman Peter Coors said. "Coors and Molson were both founded by bold pioneers in their own time and our family looks at this merger as a pioneering step in its own right."
A hearing in Quebec Superior Court is scheduled for Wednesday for final approval. The deal is expected to close Feb. 9.
The new Molson Coors Brewing Co. will have 15 breweries and nearly 15,000 employees making brands such as Molson Canadian, Coors Light, Carling, Keystone, Aspen Edge, Zima, Rickard's and Kaiser.
The new brewer will rank fifth globally in both revenue and barrels sold. It would have a 43 percent market share in Canada, 21 percent in Britain and 11 percent in each of the United States and Brazil, where Molson has struggled.
Coors and Molson say their union will generate $175 million a year by 2007 in cost savings by optimizing the Canadian brewery network, making material procurement more efficient, streamlining the organization and improving tax efficiencies.
On the Net:
Adolph Coors Co.: http://www.coors.com
Molson Inc.: http://www.molson.com
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