Diageo is selling 19 spirit brands to US-based company Sazerac for $550 million as it looks to focus on premium brands.
Driving Efficient Growth
According to The Irish Times, Diageo said that the deal will aid the development of faster-growing premium drinks in its US portfolio, with the company's chief financial officer, Kathy Mikells, asserting that the sale is "just another example of what we’re doing to drive efficient growth as we focus on the premium and above segment".
The 19 brands being sold by Diageo include Seagrams VO whisky and cinnamon schnapps Goldschlager. The company stated that it would return the sale's net proceeds of approximately £340 million to its shareholders via a share repurchase.
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