Guinness could be sold for £8BILLION as owners prepare to cash in on popularity surge
GUINNESS could be sold off for as much as £8billion as parent company Diageo eyes cashing in on the surging thirst for the Irish stout.
The stout has exploded in popularity in the past year – so much so that Diageo was forced to ration supplies to pubs in the run-up to Christmas.
Sales of the “black stuff” have boomed on the back of social media trends encouraging more female and younger drinkers to turn to the brand.
Diageo has admitted it has struggled to keep up with demand for its zero-alcohol version too.
Drinks giant Diageo is said to be exploring options for all of its drinks brands in an effort to revive its share price after slumping to an eight-year low.
The FTSE 100 company, which has owned Guinness since a merger in 1997, could spin-off Guinness into a separate stock market listing, keep a stake or flog it completely, according to Bloomberg.
The stout has been an important crown jewel in Diageo’s portfolio for years.
Industry experts said that rumours Ms Crew was willing to offload Guinness would suggest she was willing to take bold actions to get the company back on track.
Diageo also owns Johnnie Walker whisky, Bailey’s, Tanqueray and Gordon’s gin and is already in the process of selling Ciroc vodka, which it bought from P Diddy.
Diageo is under pressure from heavy slump in sales in Latin America and now faces the threat of hefty tariffs under Donald Trump, which would knock its Canadian whisky business and Mexican-made tequila.