Rival bidders for S&N seem unlikely

The names of SABMiller, Anheuser-Busch and InBev are among those being added to a list of possible rivals to Carlsberg/Heineken's bid for Scottish & Newcastle (S&N).

While such groups are unlikely to become embroiled in a counterbid for S&N, despite weekend press reports, the spectre of further global players entering the fray could serve to complicate a deal that seemed set for completion by this Thursday (January 24).

InBev refused to comment on the suggestion that the Belgium-based brewer would launch a rival bid with US brewing giant Anheuser-Busch.

A spokeswoman said InBev conducted regular business meetings with the US group related to the pair's interests in North America.

SABMiller also refused to comment, although it is understood the brewer has little intention of getting involved in an S&N bid, with few synergy benefits likely to accrue from any combination of the two businesses.

Last week S&N announced that it had entered into discussions with Carlsberg and Heineken over a possible bid for the UK brewer of 800p a share, "subject to certain pre-conditions, including satisfactory completion of limited due diligence".

A Takeover Panel deadline of today for a formal bid to be tabled has been extended to this Thursday at the behest of both sides.

Additionally Carlsberg said it made the offer on the basis that S&N would not pay out a dividend of 15p a share.

S&N has not commented on the dividend situation, but a source close to Carlsberg said the matter was not likely to be a "deal-breaker".