Diageo has shut down any claims its planning to spin-off or sell the Guinness brand.
It comes amid media speculation that the Drinks Giant was considering selling the business, after Bloomberg News reported it could be valued at nearly 9.5 billion euro.
In a statement issued on Sunday the drinks group moved to put the lid on talk of the sales after days of speculation that began with a report on the Bloomberg newswire that said a disposal programme was being considered, citing unnamed sources. The report lifted Diageo’s battered shares but the company insisted on Sunday that neither business is for sale.
’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,” the report said.
On Friday, Diageo was reported to be exploring a potential spin-off or sale of Guinness, in what would be the biggest corporate change for the Irish beer brand since it was merged with Grand Metropolitan in 1997.
Stock market-listed Diageo was also said to be reviewing its stake in LVMH's drinks unit, Moët Hennessy, Bloomberg News reported, citing people familiar with the matter.
Guinness would likely be valued at above $10bn (€9.50bn), Bloomberg reported, citing the sources.
Guinness sales are at a high, boosted by a renewed popularity among younger drinkers in the UK as well as the strength of its traditional base in Ireland.
The drinks giant struggled to keep up with demand at the end of last year even as other parts of the Diageo business are struggling to grow. The drinks giant is due to publish financial results next month.
Shares in Diageo, which have been under severe pressure for months, shot up after news of the possible Guinness disposals, rising 4.4pc on Friday.
The rumours follow a testing period for Diageo boss Debra Crew, who has seen the company’s shares steadily decline under her leadership over the past year-and-a-half.
In November, Diageo shares hit their lowest level since 2017.
The company has already reportedly looked at the potential sale of its Pimms liqueur and Ciroc vodka brands over the past year.
