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

Pharmacy
Cambridgeshire, UK Wide

Long established community pharmacy. First time on the market in 30 years. Now occupying exemplary new purpose built accommodation. Standard hours. Offers invited.

Asking Price: Offers Invited
Turnover: £885,000

LEASEHOLD


Creative Consultancy & Interior Design Solutions
UK Wide

Works closely with clients to produce interior design solutions for educational institutions, which could be marketed to more sectors.Additionally offers an array of creative media, including videos,presentations, websites, branding and full direct m...

Asking Price: Offers Invited
Turnover: £873,000

RELOCATABLE


Health Centre Pharmacy
Devon, UK Wide

Unopposed health centre pharmacy. Semi-rural location. In receipt of Pharmacy Access Scheme payments. Offers invited.

Asking Price: Offers Invited
Turnover: £845,000

LEASEHOLD



View more businesses for sale

News Search

Latest News

 
23
 
Jan
 

MBO at Bristol-based media training firm | MBO/MBI

Mentor Media Training has been acquired by lead consultant D...

 
22
 
Jan
 

Chelmsford warehouse management firm bought by software provider | BUSINESS SALE

Chelmsford-based warehouse management solutions provider Min...

 
21
 
Jan
 

MBO at Newcastle market research company | MBO/MBI

Newcastle-based market research company Explain Market Resea...

Free guide: 10 Biggest Buyer Mistakes

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

Email


Related News

 
14
 
Oct
 

Diageo wine business sold | BUSINESS SALE

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

 
02
 
Jul
 

Gleneagles Golf Club sold | BUSINESS SALE

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

 
06
 
May
 

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