Saturday , September 25 2021

Diageo sells 19 brands to US manufacturer Sazerac ::

Diageo sells 19 brands to the American producer Sazerac

Photo: Reuters

The British giant in the production of premium alcoholic beverages Diageo sold a portfolio of 19 brands from the US company Sazerac for $ 550 million (£ 427 million).

The list contains three varieties of the Seagram whiskey, Romana Sambuca, and the nonexistent Booth's gin, reported the BBC.

Diageo points out that sales will enable the company to focus on its premium brands in the United States.

Revenue from the transaction, which is expected to be approximately £ 340 million, will be returned to shareholders in the form of buybacks of shares, said the manufacturer.

Booths previously had popularity in Britain, but production ceased in 2017. Currently, bottles from the 1960s and 1970s can be found at a price of up to 250 pounds.

Sazerac is one of the oldest family distilleries, active in 10 states, including in a number of other countries such as Great Britain, Ireland, France, India, Australia and Canada.

Diageo, whose portfolio includes brands like Guinness, Smirnoff and Johnnie Walker, also reports that it has agreed to enter into a 10-year delivery agreement with Sazerac. The executive director of the British company, Ivan Menesse, said that "Diageo has a clear strategy for achieving consistent, effective growth and value creation for our shareholders."

The transaction awaits approval from the Authority and is expected to be completed by the beginning of 2019.

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