Published by Global Banking & Finance Review®
Posted on January 13, 2026
2 min readLast updated: January 19, 2026
Add as preferred source on GoogleDiageo is exploring options, including selling its China assets, to streamline its portfolio amid market challenges and declining sales.
Jan 13 (Reuters) - Diageo is weighing options for its China assets, including a sale, Bloomberg News reported on Tuesday, citing people familiar with the matter, as the world's largest spirits maker looks to streamline its portfolio.
London-listed Diageo is grappling with tariff hikes in its key U.S market, high debt levels and indications that some younger consumers could be shifting away from drinking alcohol. In November, it had flagged a double-digit decline in sales in China.
The report comes after the maker of Johnnie Walker whisky and Captain Morgan rum last month said it would sell its 65% stake in East African Breweries for $2.3 billion, divesting its last direct African beer holding.
Diageo is working with Goldman Sachs and UBS to review operations, including a more than 63% stake in Sichuan Swellfun, which distributes the Chinese distilled spirit Baiju, Bloomberg News said.
Reuters could not immediately verify the report. A spokesperson for Diageo declined to comment. Sichuan Swellfun could not be immediately reached for comment.
(Reporting by Pushkala Aripaka and Rishab Shaju in Bengaluru, and Emma Rumney in London; Editing by Eileen Soreng)
A divestment is the process of selling off a subsidiary or business unit to streamline operations or improve financial performance.
A portfolio is a collection of financial assets such as stocks, bonds, and other investments owned by an individual or institution.
Market conditions refer to the current state of the financial markets, including factors like supply and demand, economic indicators, and investor sentiment.
Corporate strategy is a company's overarching plan to achieve its goals and objectives, including decisions on resource allocation and market positioning.
Financial management involves planning, organizing, directing, and controlling financial activities to manage an organization's financial resources effectively.
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