Coors,
Molson Discuss Merger
The Adolph Coors Brewing Company, the third-largest beer firm in
the United States, and Molson, the biggest Canadian brewer, have
acknowledged that merger discussions are being conducted, the New
York Times reported July 20.
If the merger takes place, the annual revenue of the combined company
would be in excess of $6.5 billion. Analysts said a merger might
increase competitiveness in the beer industry.
Coors, headquartered in Golden, Colo., has seen sales of its Coors
Light dip after SABMiller began marketing a lower-carb alternative
to weight-conscious beer drinkers. Molson, based in Montreal, Canada,
has been losing market share in Canada to discount brands.
"Both have their issues," said Benj Steinman, editor
of Beer Marketers Insights, an industry newsletter in Nanuet, N.Y.
"It's unclear how a merger would dramatically change either
of their positions in either of those two markets."
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