Diageo PLC (LSE:DGE) has said it intends to raise its stake in Nairobi-listed East African Breweries PLC (EABL) to 65% from 50.03% via a partial tender offer.
The FTSE 100 alcoholic drinks group stressed that it does not intend to make a takeover offer for EABL and will apply to the Capital Markets Authority in Kenya for an exemption from complying with the requirement to make a takeover offer.
Details of the proposed partial tender offer will be set out in a tender offer document, which will be made available to shareholders of EABL, it said.
EABL's business is concentrated on three core markets of Kenya, Uganda and Tanzania, although its products are sold in more than 10 countries across Africa and beyond, Diageo noted.