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Foster's turns down $2.5bn bid for wine business
8 Sep 2010Australian brewer Foster's today rejected a A$2.7 billion (£1.6 billion) offer from an unnamed private equity firm for its wine business, sparking hopes that it could now attract a full-scale takeover bid.
Foster's is the second-largest winemaker in the world with brands ranging from Penfolds in Australia to Beringer in California's Napa Valley.
But the business has been hit by the strength of the Australian dollar on its exports as well as a move upmarket by local wine drinkers.
Last month SAB Miller and Japan's Asahi Breweries were both named as potential bidders for the brewing business which could be worth as much as £7 billion.
