Heineken is close to an agreement to buy Mexican conglomerate Femsa’s brewing operation for up to $8bn, the Wall Street Journal reported at the weekend.

A deal could be concluded this week, the paper said.
Rival SABMiller has now pulled out of the bidding because it is not prepared to match Heineken’s offer, a person ‘with knowledge’ of the talks told the Business Week website.
Femsa owns the Dos Equis, Tecate and Sol brands. According to the Financial Times, Heineken has viewed the Femsa business as its ‘last chance’ to gain a foothold in the Latin American market. Femsa brands account for slightly less than half the Mexican beer market, the paper said.