Diageo Denies Plans to Sell Guinness or Moet Hennessy Stake
(Reuters) - Diageo does not intend to sell its beer brand Guinness or its stake in Moet Hennessy, LVMH's drinks unit, the world's top spirits makers said on Sunday.
On Friday, Bloomberg News reported that the company was exploring options for Guinness, a star performer in Diageo's portfolio, as well as reviewing its investment in Moet Hennessy. The report said that Guinness could be valued at more than $10 billion.
"We note the recent media speculation around the Guinness brand and our stake in Moet Hennessy and we can confirm that we have no intention to sell either," Diageo said in a statement. The company also said that it would provide further updates on its business with interim results on Feb. 4.
Guinness is an outlier in Diageo's business, which consists mostly of spirits rather than beer, but its performance recently has outshone that of key liquor labels, such as Johnnie Walker whisky.
Spirits sales have struggled after a post-pandemic boom in demand for more expensive liquor went into reverse. Meanwhile, Guinness sales have grown by double digits every year since 2021, with its zero-alcohol version also surging.
(Reporting by Surbhi Misra in Bengaluru; Editing by Tomasz Janowski)
