Anheuser-Busch InBev sells $5.5B of debt

By The Associated Press

posted: 44 DAYS 6 HOURS AGO

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-Anheuser-Busch InBev NV has sold $5.5 billion in debt securities, and will use the proceeds to repay money Belgium's InBev borrowed to purchase the maker of Budweiser beer last year.

In a statement on its Web site Tuesday, the world's largest brewer said it sold $1.5 billion of notes due 2012, $1.25 billion worth of notes due 2015, $2.25 billion of notes due 2020 and $500 million of notes due 2040.

The notes will bear interest at annual rates between 3 percent and 6.375 percent.

"While we had no immediate needs to re-visit the capital markets given pre-funding actions in the 2009 first quarter, this transaction further enhances our financial flexibility," Felipe Dutra, chief financial officer of Anheuser-Busch InBev, said in the statement. "The majority of the proceeds will be used to repay Facility C of our acquisition financing, which matures in November 2011, more than two years ahead of schedule."

Anheuser-Busch Inbev said last week it will sell its 10 U.S. theme parks to the private equity firm Blackstone Group for at least $2.3 billion.

The sale of three SeaWorld parks, two Busch Gardens parks and five others is the largest of a seriesof AB InBev asset sales that will help pay for the $52 billion takeover deal that formed the company last year.

2009-10-14 08:01:39