According to Sky News, Diageo has called an end to a protracted auction process which was launched in February of this year.
At the time, it was reported that the group was eyeing the sale of liqueur brand Safari and rum label Pampero as well as Pimm’s, and had hired investment bank Rothschild & Co to assist.
Safari was sold to Portuguese firm Casa Redondo in early July for an undisclosed fee, with Pampero subsequently sold to Gruppo Montenegro just a few weeks later – also for an undisclosed amount.
However, a deal was more difficult to come by for Pimm’s although the full details of exactly why remain unreported.
Pimm’s is a gin-based liqueur that was first produced in 1823 by James Pimm. The brand was acquired in 1997 as part of a deal which led to the formation of Diageo.
In addition to Pimm’s, Diageo now owns leading alcoholic drinks brands such as Guinness, Johnnie Walker, Baileys, Smirnoff and Captain Morgan. During its 2024 fiscal year, the group saw organic net sales fall by $129m year-on-year, resulting in a $304m fall in organic operating profit.
Food Manufacture has reached out to Diageo for comment.
Guinness Nigeria deal completed
Elsewhere, Diageo officially confirmed the sale of its shareholding in Guinness Nigeria to Tolaram on 30 September.
The deal is worth approximately £54m and was first announced in June, with Diageo set to continue to drive the brand and marketing strategy of Guinness in Nigeria in partnership with Guinness Nigeria and Tolaram.
Speaking when the deal was made public, Diageo CEO Debra Crew said: “Guinness has been Nigeria’s favourite beer for nearly 75 years. Tolaram share this passion for Guinness and for Nigeria, making them the perfect partners as we continue to grow our business and seek to delight even more consumers in the country.”
In other news, Kellanova has announced plans to invest £75m into its cereal production facility in Wrexham.
