Anheuser-Busch InBev (AB InBev), the world's largest beer producer, hopes to buy SABMiller, the second biggest beer company.

If the deal goes through it will bring leading brands including Stella, Budweiser, Miller, Coors Light and Peroni all under the same corporate umbrella.

The merged entity would account for close to one third of all of the world's beer production.

SABMiller revealed in a statement that AB InBev has informed it that it plans to make an offer, but it is yet to be tabled.

The company's shares rose by 22% following the announcement - while AB InBev's stocks went up by 11%.

The current combined market value of the companies is more than $250bn.

SABMiller's statement read: “The board of SABMiller notes the recent press speculation and confirms that Anheuser-Busch InBev has informed SABMiller that it intends to make a proposal to acquire SABMiller.

“No proposal has yet been received and the Board of SABMiller has no further details about the terms of any such proposal. The board of SABMiller will review and respond as appropriate to any proposal which might be made.”

AB InBev also released a statement: "AB InBev confirms that it has made an approach to SABMiller’s board of directors regarding a combination of the two companies."

It continues, "AB InBev’s intention is to work with SABMiller’s board toward a recommended transaction."

Anheuser-Busch InBev's brand include - Budweiser, Corona, Stella Artois, Becks, Leffe, Hoegaarden, Brahma, Quilmes, Jupiler, Modelo Especial and Bass.

SABMiller owns - Miller, Coors (who own Cork's Franciscan Well) , Bluemoon, Peroni, Bulmers (UK), Carlton, Fosters, Grolsch, Lech, Pilsner Urquell, VB, Strongbow and Snow.