Rumors of a takeover of Boston Beer Company circulated, Suntory denied bidding, and WSJ reported a potential acquisition at a premium around $3 billion.
Boston Beer Company Inc (NYSE:SAM), owner of the Samuel Adams brand, saw its shares slide in Monday’s early deals as investors reacted to latest developments after claims on Friday that a takeover may be in the offing – today, however the rumoured buyer denied it was making a bid.
Suntory, a Japanese company that owns American spirits brand Jim Beam, denied the claim it was in negotiations to buy Boston Beer Company via comments from a spokesperson.
On Friday, a Wall Street Journal report said that a deal to buy the American larger maker would likely be priced at a premium to market value, which at the time was around $3 billlion.
Boston Beer Company shares spiked to $329 per share on Friday, marking a 25% gain for the week.
Today, however, the beer stock was in retreat and came back as low as $282.
At $287 per share shortly after the start of Monday’s trading session, the stock was down $26.17 or 8.34%.
