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Mexico’s FEMSA launches second 3 billion euro sale of Heineken shares
Global Banking & Finance Review®
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MEXICO CITY (Reuters) – Mexican bottler FEMSA on Tuesday offered 3.3 billion euros ($3.63 billion) worth of its shares in Heineken, the second large offering in its divestment of holdings in the Dutch brewer.
MEXICO CITY (Reuters) – Mexican bottler FEMSA on Tuesday offered 3.3 billion euros ($3.63 billion) worth of its shares in Heineken, the second large offering in its divestment of holdings in the Dutch brewer.
The shares are equivalent to a stake of about 5.9% in Grupo Heineken, the Mexican company said in a statement. FEMSA announced in February an offering of around 3 billion euros worth of common shares in Heineken N.V. and Heineken Holding N.V, after saying it would sell its 14% stake in the European company over the next three years.
Filings later showed FEMSA had sold some of the shares. Heineken bought around 1 billion euros of the shares across both of its entities, while American tycoon Bill Gates bought 10.8 million shares – or a 3.76% stake – in the Dutch beverage giant from FEMSA.
FEMSA also announced Tuesday a simultaneous offer of up to 250 million euros of bonds exchangeable for shares of the Dutch brewer due in 2026.
The new bonds “will be consolidated and form a single series” with the ones issued in February for around 500 million euros at a rate of 2.625% and maturing within two years, it said.FEMSA’s shares on the Mexican stock market fell 0.26% after the announcement, after an initial 0.04% gain. They still outperformed the main Mexican stock index which fell 1.4% on Tuesday.
($1 = 0.9084 euros)
(Reporting by Raul Cortes; Writing by Isabel Woodford; Editing by Richard Chang)
Equity represents ownership in a company, typically in the form of shares. When you own equity, you have a claim on a portion of the company's assets and earnings.
Corporate bonds are debt securities issued by companies to raise capital. Investors who purchase these bonds lend money to the company in exchange for periodic interest payments and the return of the bond's face value at maturity.
Divestments refer to the process of selling off a portion of a company's assets or investments, often to improve financial performance or focus on core operations.
A share sale involves the sale of a company's shares to investors. This can be part of a public offering or a private placement, allowing companies to raise capital.
Stock performance refers to how well a company's stock performs in the market, typically measured by its price changes and trading volume over time.
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