Filing Puts Constellation Brands Acquisition on Hold
The Department of Justice filed an anti-trust lawsuit against Anheuser-Busch InBev's proposed acquisition of Grupo Modelo, saying it would ultimately drive the cost of beer up.
The filing puts a pending deal on hold between Anheuser and Victor-based Constellation Brands. Constellation brands was to acquire half of the Grupo Modelo, or Crown Imports, as part of a joint venture with Anheuser-Busch InBev's.
Constellation released a statement saying:
"Constellation Brands is disappointed with the DOJ decision. The proposed transaction would further establish Crown Imports as a more independent and competitive entity and solidify its position as a major player in the U.S. beer industry."
Constellation said it no longer expects the deal to close during the first calendar quarter of 2013, but hopes the deal with still go through soon.