Just in the past few days, what would be the biggest deal of its kind and one of the top acquisitions ever was just agreed to.
The $14 billion deal is set to create a sort of super power in its industry, with an enhanced arsenal of goods that have accounted for sales of roughly $55 billion.
And as we’ve all found out at one time or another, anytime money changes hands on Wall Street, YOU have a chance to make money if you know how to play it.
Still needing to be approved by regulators, Anheuser-Busch InBev (BUD) has agreed to buy SABMiller (SBMRY), its biggest rival, for $104 billion. This deal will create the largest beer maker in the world by a long shot.
In fact, 9 of the 20 most popular beers in the world would now be in the hands of the newly upgraded BUD.
As you can imagine, that’s caused some movement on Wall Street.
Check out what’s happened to the chart for SBMRY including the last few days after the announcement:
(From stockchart.com)
You don’t need to have the benefit of one of our investing courses to know that SBMRY has jumped up immediately due to this news.
And what about BUD? Let’s take a look:
Same thing. BUD has quickly turned upward and started climbing on the back of the announcement that they’ve agreed to acquire SBMRY.
But those aren’t the only 2 stocks being affected by this deal – one of the biggest shareholders of SBMRY is Altria Group (MO). And MO has done nothing but climb for the past several days.
These are the kinds of deals that send shockwaves through Wall Street, and the kind that can put money in your pocket.
But something to keep in mind is that BUD might have some work to do in order to get the deal approved by regulators. The big fear from the outside looking in is that BUD would become too powerful from this acquisition, meaning that the beer maker might have to sell some assets to get this deal done.
There’s no doubt that this deal will be pulled apart by inspectors before it will be approved, but if it does go through, the people on board could stand to make a pretty penny.
