Diageo considers putting whisky business up for sale

Tue, 26 Nov 2013 | BUSINESS SALE

The world’s biggest Scotch whisky distiller, Diageo, could sell off most of its Whyte and Mackay business in order to appease competition authorities.

The Office of Fair Trading (OFT) has stated that there was a “likely loss of competition” between Diageo’s Bell’s whisky brand and the Whyte and Mackay brand when the drinks giant acquired the latter in securing a stake in India’s United Spirits in 2012.

The deal, worth around £590 million, also saw Diageo take partial control of Whyte and Mackay’s former parent company, United Spirits. In doing so the company effectively increased its share of the whisky market to around 40 per cent.

Chris Walters, chief economist with the OFT, commented on the proposed solution of a business sale: “Our investigation considered a wide range of evidence and we concluded that the likely loss of competition could give rise to higher prices for retailers, and ultimately consumers.

“We are now considering Diageo’s offer to sell the bulk of the Whyte and Mackay business with the exception of two malt distilleries [Dalmore and Tamnavulin], to address our concern.”

If the proposed sale is accepted, the OFT will be required to approve a suitable buyer that would encourage a higher level of competition within the sector.

Related information:
View the latest businesses for sale

Share this article

Latest Businesses for Sale

North East, UK

Specialises in the provision of a range of premium pastries, hot and cold snacks, speciality cakes and freshly baked breads for major supermarkets and local businesses across the North East. Highly skilled and experienced workforce whose professional...

Asking Price: Offers Invited
Turnover: £1,900,000


Off-Licence & Convenience
Ibstock, Leicestershire, UK Wide

The business has been operated by the current vendors for over 25 years and this is the first time the site has been advertised on the open market for over 100 years. The business has built up an enviable reputation throughout the area for quality an...

Asking Price: £450,000
Turnover: £751,000


MOT Test Centre/Vehicle Repair Business
Staffordshire, UK Wide

Well-established and very popular MOT station and vehicle repair business Staffordshire. The business was established by our client in 2005 and is only now being offered to the market due to our clients’ desire for change of direction and to concentr...

Asking Price: £450,000
Turnover: £319,000


View more businesses for sale

News Search

Latest News


Payroll and HR companies acquired by software group | BUSINESS SALE

IRIS Software Group has finalised the agreement of intent to...


NG Bailey’s acquisition of Freedom boosts its turnover by 16 per cent | BUSINESS SALE

Engineering and services group NG Bailey’s strategic a...


Forensic science equipment supplier completes MBO | MBO/MBI

A private equity firm has backed the management buyout of a ...

Free guide: 10 Biggest Buyer Mistakes

Sign up to receive our acquisition alert emails to get your FREE guide


Related News


Diageo wine business sold | BUSINESS SALE

Diageo has negotiated a successful sale of its wine business...


Gleneagles Golf Club sold | BUSINESS SALE

Gleneagles Golf Club and Hotel has been sold to Ennismore, t...


Diageo exploring business sale for wine division | BUSINESS SALE

Diageo is reportedly exploring a business sale of its wine d...

Want access to the latest businesses for sale?

Business Sale Report is your complete solution to finding great acquisition opportunities.

Join today to receive:

  • Comprehensive range of businesses for sale
  • Make direct contact with business sellers or their intermediaries
  • Access to all UK administrations, liquidations and winding-up petitions
  • Daily email alerts for the latest businesses for sale & distressed notifications
  • Business Sale Report publication posted to you every month
  • Advertise your acquisition requirements on our "business wanted" section

All this and much more, including the latest M&A news and exclusive resources