Altria Sells $2.2 Billion AB InBev Stake Amid Bud Light Backlash

The tobacco giant divests from the beer brewer following a sales slump triggered by a controversial ad campaign.

Altria Group, the owner of Marlboro cigarettes, plans to sell $2.2 billion of its shares in AB InBev, the brewer of Bud Light, following a sales decline due to a backlash over a transgender influencer ad campaign.
The sale represents about 18% of Altria's stake in AB InBev, with the tobacco giant owning approximately 10% of the brewer.
AB InBev's sales to US retailers dropped 17.4% in the last quarter of 2023, primarily due to the decline of Bud Light, which has been replaced by Modelo as America's favorite beer.
AB InBev has attempted to reclaim its all-American reputation with patriotic TV ads and announced a $1 billion share buyback program to restore investor faith.
Criticism of Bud Light's ad campaign came from various quarters, including former Republican presidential candidate Ron DeSantis and rapper Kid Rock, while human rights groups criticized AB InBev for not supporting the influencer after she faced transphobic slurs.