Diageo Denies Reports of Selling Guinness or Moët Hennessy Stake
Global beverage giant Diageo has firmly refuted recent reports suggesting the potential sale of its iconic Guinness brand or its stake in Moët Hennessy. The company’s statement comes in response to a Bloomberg report that claimed Diageo was reviewing its portfolio and considering possible sales or spin-offs.
In a swift response, Diageo issued an official statement asserting that it has no intention to sell either asset. The initial reports of a potential sale had a notable impact on the company’s stock, with Diageo’s share price rising by 4% following the speculation.
Diageo, renowned for its diverse portfolio including popular brands such as Johnnie Walker, Captain Morgan, and Don Julio, has seen particular success with Guinness in recent years. The Irish stout has experienced a surge in popularity, especially among younger consumers, bolstering its position as a key brand in Diageo’s lineup.
The cultural relevance of Guinness has been further enhanced by its association with celebrities and social media trends. Notable figures like Kim Kardashian and Olivia Rodrigo have been spotted with the iconic black pint, while trends such as “splitting the G” have contributed to its growing appeal among younger demographics.
Diageo’s commitment to Guinness is evident in its upcoming plans. The company is set to update the market with interim results on February 4, 2025, and has scheduled an investor and analyst day focused on Guinness for May 19-20, 2025. These events underscore the brand’s importance in Diageo’s long-term strategy.
The recent holiday season saw such high demand for Guinness that the company had to implement rationing measures, further highlighting the brand’s strong market position.
While Diageo remains committed to Guinness and its stake in Moët Hennessy, the company has made strategic moves in other areas. Last year, it sold its majority stake in Guinness Nigeria to Singapore-based Tolaram, demonstrating its willingness to adjust its portfolio when deemed necessary.
As Diageo continues to navigate the competitive global beverage market, its clear stance on retaining Guinness and its Moët Hennessy stake indicates a strong belief in these assets’ future potential and their integral role in the company’s overall strategy.
