Foster's silent on takeover

SYDNEY - Australia's biggest brewer, Foster's Brewing Group, declined comment yesterday on the Business Herald's report that it was poised for a takeover of winemaker Montana Group.

Speculation is mounting that Foster's had renewed efforts to pounce on New Zealand's largest wine group after walking away from talks last year when a $A400 million plus price was seen as too much.

A Foster's spokeswoman said the company would not comment on the speculation, and Montana managing director Peter Hubscher dismissed the talk as nothing more than a rumour.

Foster's managing director, Ted Kunkel, said last month the company was looking at two to three acquisitions overseas but declined to say whether they were in beer or wine.

Foster's shares rose 2 cents to $A4.37 in mid-afternoon trade and Montana shares gained 12 cents to $1.90.