Budweiser maker Anheuser-Busch InBev agreed the terms Wednesday of a $107 billion takeover of SABMiller that will combine the world's two biggest brewers and creates a company that makes almost a third of the beer consumed worldwide.

As part of the deal, SABMiller will sell its stake in a venture with Molson Coors. That should ease concerns that AB InBev would have a stranglehold on the U.S. market after the merger and pave the way for approval by American regulators.

The companies had twice extended the deadline for a formal offer, implementing an agreement in principle announced Oct. 13.

AB InBev is seeking to bolster growth by acquiring SABMiller's brands in Africa and Asia as changing tastes and craft beers cut sales in developed markets.

The two companies own hundreds of brands including Budweiser, Corona, Grolsch and Stella Artois.

"We are excited about our agreement on the terms of a recommended acquisition of SABMiller to build the world's first truly global brewer," said AB Inbev CEO Carlos Brito. "Our joint portfolio of complementary global and local brands would provide more choices for beer drinkers in new and existing markets around the world."

AB InBev expects to cut cost by $1.4 billion after the takeover.