quiet achiever, page-11

Really enjoying the posts here... i have offered nothing so far... but found this a few weeks back... thought it might be of interest to some if not yet discussed?

Bit of a "big picture" article about world beer markets... for what its worth.

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http://www.businessweek.com/articles/2012-10-25/the-plot-to-destroy-americas-beer

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Guy buying is Carlos Alves de Brito

He's with "Ab InBev"

Article ends with....

"What will Brito buy after this? There’s not much left. There is Pepsi, of course. Analysts speculate that it will acquire SABMiller (SAB), the world’s second-largest brewer. (AB InBev isn’t saying.) That would be something, adding beers like Coors Light and Foster’s to AB InBev’s lineup"

Absolutely not implying they would ever target GRB direct at this stage (looks like they take on bigger fish).... but shows why Fosters... LWB... etc takeovers are happening as market players shrink.

Great for the likes of GRB to be noticed as some sort of independent... with steady cash and sales from a major player like Woolies.... softening financial pressures as they ramp up their own labels.

At end of contracts after 3 years... (even though they would have first right to renew?) could be a bit of a bidding spat for GRB if sales/profits have firmed and another player wants to try get in... bidding for brewery control via the 75% of stock Woolies don't hold. Woolies would not like it if another player takes over... and suddenly other brands take precedence in production perhaps.

Likes of Ab Inbev's marketing and market share also put pressure on start-up's profits no doubt... but Woolies very strong in Oz.

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Any thoughts appreciated

I like this one... beer.... Aussie.... underdog story..... what's not to love.

Finally dawned on me last week... who doesn't want to own a brewery!

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bsh