Thai Beverage talks to banks about funding for possible F&N offer

Thai Beverage and related parties have approached several banks in Singapore for funding to make a potential general offer for Fraser and Neave (F&N), which has proposed selling its stake in Asia Pacific Breweries to Heineken, Singapore’s Business Times reported.

Thai Beverage (ThaiBev), F&N’s largest shareholder with 29 per cent of the Singapore drinks and property conglomerate, may need less financing if it can find a partner, the report said. ThaiBev’s controlling shareholder is Charoen Sirivadhanabhakdi, Thailand’s second-richest man.

ThaiBev has spent S$3.6 billion (US$2.9 billion) to buy 29 per cent of F&N, partly funded through a S$2.8 billion loan facility. If its holding hits 30 per cent, ThaiBev would be obliged to bid for all of the company.

F&N shareholders will vote on the proposed sale of a 40 per cent stake in Tiger beer maker Asia Pacific Breweries to Heineken on Sept 28.

A spokeswoman for ThaiBev declined to comment.