NEWS
Gates Foundation Invests Nearly $100 Million in AB InBev Despite Bud Light Boycott
Courtesy of thisisbillgates/Instagram
The Bill and Melinda Gates Foundation Trust bought bought 1.7 million shares of Anheuser-Busch InBev last quarter for more than $96 million, signaling an optimistic outlook for the company despite it recently getting wounded in the culture war.
According to a recent SEC filing, the Gates Foundation Trust bought the stock after AB InBev’s stock took a hit from backlash to Bud Light’s promotion with transgender social media influencer Dylan Mulvaney.
In April, Mulvaney uploaded a sponsored Instagram video promoting Bud Light’s “Easy Carry Contest,” encouraging customers to upload videos of themselves carrying cans of Bud Light for a chance to win a cash prize.
Bud Light sent Mulvaney a specially made can of beer featuring her face and a message reading “Cheers to 365 Days of Being a Woman,” a reference to her “Days of Girlhood” video series documenting the early stages of her transition.
AB InBev’s stock price rattled around as “anti-woke” backlash mounted, and began fell precipitously in early May as a Bud Light boycott gained traction among some conservatives. As a result, Bud Light lost its place as the nation’s best-selling beer to Modelo Especial.
In July, Anheuser-Busch said it was cutting nearly 2% of its workforce across all corporate positions. In August, the company reported its U.S. revenue dropped 10% in the second quarter, dragged down by falling sales of Bud Light.
“It’s the age old adage, buy low and sell high,” said Ted Jenkin, founder and CEO of Atlanta-based oXYGen Financial.
“If one of the richest people in the world is buying the stock, it might tell you something,” Jenkin said. “The stock is way beaten down with recent bad news and Gates clearly sees it as a value stock now.”
TMX contributed to this article.
