RUSSIA - Anheuser-Busch InBev (ABI.BR) and Anadolu Efes (AEFES.IS) have modified the terms of their previously announced agreement, which involves AB InBev's exit from a joint venture with the Turkish brewer in Russia and Ukraine. 

The revision comes after Russian authorities rejected the initial proposal, prompting both companies to reassess the arrangement.

The joint venture, established in 2018, was created as part of a partnership between AB InBev and Anadolu Efes, with the intention of consolidating operations in the region. 

Following Russia's invasion of Ukraine, AB InBev sought to divest its interests in this venture. Anadolu Efes had previously agreed to acquire AB InBev's stake in the 50-50 joint venture, which spans both Russia and Ukraine. 

However, the initial exit plan was turned down by Russian regulators in August.

New structure for business operations
In a recent statement, AB InBev announced its intention to acquire a stake in Anadolu Efes's Ukraine business. The new agreement outlines that Anadolu Efes will acquire AB InBev's stake in the Russian business while AB InBev will take on ownership of the Ukrainian operations. The companies did not provide further details on the reasons for these changes.

Regulatory approvals remain a critical aspect of the transaction, with AB InBev emphasizing that there are no guarantees regarding the timeline or success of obtaining the necessary authorizations. 

Ongoing investments in the U.S. market
In a related development, Anheuser-Busch InBev has announced an US$8 million investment aimed at modernizing its flagship brewery in St. Louis, Missouri. 

This investment will enhance infrastructure and equipment, ensuring that the brewery continues to produce more than 30 of the company’s popular beer brands, including Budweiser and Michelob Ultra. 

Brendan Whitworth, CEO of Anheuser-Busch, reaffirmed the company’s commitment to its local community, emphasizing that such investments not only benefit the brewery but also the city itself, which has been integral to AB InBev's identity for over 165 years.