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Food & drink

Diageo confirms terms behind increased stake in East African Breweries

Diageo PLC (LSE:DGE), the owner of Johnnie Walker and Guinness, has confirmed the terms of a partial tender offer to increase its stake in East African Breweries (EABL).

The deal, conducted through Diageo Kenya Limited will see the FTSE 100-listed spirits company up its holding from the current 50.03% to a maximum of 65%.

The tender offer price is Kenyan Shillings 192.00 per ordinary share and the maximum number of shares subject to the tender offer is 118,394,897.

The offer will run from 6 February to 17 March 2023.

Diageo Kenya received regulatory approval to buy the extra shares on January 27.

The holding goes back to 1990 when the Irish brewer Guinness bought a minority stake in EABL and has been majority owned by Diageo since 2000.

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