Anheuser-Busch Sells Off As News Of SABMiller CR Snow Stake Sale Circulates

According to a report by Bloomberg, China Resources Beer (Holdings) Co. is close to acquiring the remaining stake in Snow beer it doesn't already own.

Snow beer is a Chinese brewery joint venture with SABMiller Plc.

Bloomberg, citing "people with knowledge of the matter," reported that China Resources could acquire SABMiller's 49 percent stake in the entity for around $2 billion. The report added that Anheuser Busch Inbev SA (ADR) (NYSE: BUD) may need to sell its stake to appease Chinese regulators for its acquisition of SABMiller.

Shares of Anheuser Busch were trading lower by nearly 2 percent after Wednesday's market open as the $2 billion valuation placed on SABMiller's stake is well short of the $5 billion valuation that several Wall Street analysts placed on the holdings.