Diageo rules out Guinness sale following speculation

Diageo has ruled out a sale of its Guinness brand following speculation it could offload its famous stout in a bid to revive growth.

The drinks giant was responding to rumours it was considering options to offload Guinness or its 34% stake in Moët Hennessy, the wine and spirits arm of LVMH.

It follows a report in Bloomberg, which first fuelled the speculation, that Guinness could fetch up to $10 (£8bn) if it was sold or spun off.

 

Yesterday (26 January), Diageo issued a statement directly refuting the reports.

The statement said: “We note the recent media speculation around the Guinness brand and our stake in Moët Hennessy and we can confirm that we have no intention to sell either.

“We will next update the market with interim results on 4 February 2025 and we look forward to hosting our Guinness investor and analyst day on 19/20 May 2025.”

Diageo owns more than 200 brands, including Johnnie Walker, Baileys, Smirnoff, Captain Morgan and Casamigos.

It was forced to limit the amount of Guinness some pubs could purchase in the run-up to Christmas following a surge in demand, and promised a “phased replenishment” of supplies in January.

Guinness’s sales have outperformed the wider beer market throughout summer and autumn, according to CGA data.

While total beer category volumes declined 0.5% between July to October, Guinness saw a 20.9% rise over the three months.

Last week, Diageo sold Cacique, the rum brand is has owned since 2003, to French spirits group La Martiniquaise-Bardinet.

Diageo sold its Safari liquer to Portuguese drinks group Casa Redondo in July last year.

 

Photo: Ross Mahon/Shutterstock