Brewer SABMiller believes claims made by Australian target Foster's, for which it has made a hostile A$9.5 billion (€7.1 billion) offer, were "misleading and deceptive" and has asked regulators to examine them.

SABMiller's stance was revealed today in a statement from Australia's Takeovers Panel which said it would review the London-listed company's application, with a final decision likely within two weeks.

SABMiller, the world's second-largest brewer and home to Grolsch, Miller Lite and Peroni, has offered A$4.90 per share for Australia's largest brewer, a price Foster's rejected as being too low to be "worth discussing".

Analysts said while it was not uncommon for a predator to take issue with comments a target company made in relation to the bid, it was more unusual to attack a target's accounting and profit statements.

"My impression is that they (SABMiller) are trying to do everything they can to make sure they do not have to increase their offer price," said Daniel Nelson, an analyst at Constellation Capital Management.

Foster's, the maker of Victoria Bitter, Carlton Draught and Pure Blonde, reported a 9 per cent slide in second-half profit on August 23rd, in a rare decline that showed beer margins falling for the first time in a decade and lower volumes.

The Takeovers Panel said SABMiller claimed Foster's made "misleading and deceptive" statements in its profit announcement last month. SABMiller said there was no reasonable basis for several forward-looking statements in Foster's results presentation, according to the Takeovers Panel.

SABMiller also claimed the net debt figures published by Foster's did not meet Australian accounting standards.

George Durbridge, acting counsel on the Takeovers Panel, said it would assemble a panel on Monday to look at the application by SABMiller. If the panel decided to review the merits of SABMiller's claims, a final decision on the case could come within two weeks, he told Reuters.

A Foster's spokesman said it would not comment on the claims by SABMiller because the matter was before the Takeovers Panel. Its chief executive, John Pollaers, was in London this week as part of a post-results investor roadshow.

SABMiller took its offer directly to shareholders last month after Foster's rejected its initial approach. Shareholders are hoping for an offer above A$5.

SABMiller has long been favourite to take over Foster's given the lack of potential rivals and the London-based brewer's desire to have a range of global businesses.

Reuters