SINGAPORE--Dutch brewer Heineken NV (HINKY) is in talks with
Singapore conglomerate Fraser & Neave Ltd. (F99.SG) about an
increased offer for Asia Pacific Breweries Ltd. (A46.SG), two
people familiar with the situation said Friday.
Fraser & Neave and Heineken share a 50-50 joint venture that
owns 64.8% of APB. Fraser & Neave has a 7.3% direct stake in
APB and Heineken 9.5%.
Heineken last month made a US$6 billion offer for the whole of
APB at 50 Singapore dollars a share. But last week, Kindest Place
Group--owned by the son-in-law of Thailand billionaire Charoen
Sirivadhanabhakdi--came in with a S$55 a share offer for Fraser
& Neave's 7.3% direct stake. Kindest Place already owns 8.6% of
APB.
The latest move by Heineken is aimed at securing Fraser &
Neave's support against rival offers for APB, the maker of Tiger
beer.
Earlier this month, the board of Fraser & Neave recommended
its shareholders accept Heineken's offer for the whole of APB. But
the higher offer from Kindest Place complicates the deal.
Fraser & Neave and APB were suspended from trade on the
Singapore Exchange Friday.
Write to P.R. Venkat at venkat.pr@dowjones.com
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