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Molson Coors nears deal to buy rest of Miller Coors

Molson Coors Brewing Co <TAP.N> is nearing a deal to buy the rest of its U.S. joint venture with SABMiller Plc <SAB.L>, MillerCoors LLC, for more than $10 billion, the Wall Street Journal reported on Tuesday.

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A barman pours a beer produced by brewing company SAB Miller at a bar in Cape Town, South Africa. REUTERS/Mike Hutchings

Molson Coors Brewing Co <TAP.N> is nearing a deal to buy the rest of its U.S. joint venture with SABMiller Plc <SAB.L>, MillerCoors LLC, for more than $10 billion, the Wall Street Journal reported on Tuesday.

An agreement to buy the 58 percent stake held by SABMiller is expected to be announced Wednesday, the newspaper reported, citing people familiar with the matter.

The deal will be contingent on the closure of the AB InBev-SABMiller deal, the Journal reported. ( http://on.wsj.com/1Hvccl8 )

Anheuser-Busch InBev <ABI.BR> and SABMiller agreed last month to create a company making almost a third of the world's beer.

Molson Coors is widely anticipated to make a bid for SABMiller's stake in the joint venture, formed in 2008 and known for selling brands such as Coors Light, Miller Lite and Blue Moon in the United States.

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The venture agreement gives Molson Coors the right to name new management in the event of a change in control and the right to make the first and last bid for the remaining stake, both of which could deter other potential bidders.

Molson Coors was not immediately available for comment.

AB InBev and SABMiller declined to comment.

Molson Coors' shares were up 2 percent at $89.15.

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