Diageo plc has officially announced the sale of an 80.4% shareholding in Guinness Ghana Breweries plc to Castel Group, as disclosed on January 28, 2025.
This announcement follows Diageo’s September 2024 sale of its stake in Guinness Nigeria plc, where it divested 58.02% of its shares to Tolaram for N104 billion, a transaction initially disclosed in June 2024.
In this latest development, Diageo is selling 80.4% of its shareholding to Castel Group for $81 million, thereby expanding its long-term partnership.
Furthermore, Diageo will continue to oversee the brand and marketing strategy for Guinness in collaboration with Castel.
According to reports, this transaction is subject to regulatory approvals and is anticipated to be finalized within the calendar year. Upon completion, Guinness Ghana will maintain its listing on the Ghanaian Stock Exchange.
President of Diageo Africa Comments
Considering the recent development, Dayalan Nayager, President of Diageo Africa and Chief Commercial Officer, expressed his enthusiasm for the strong performance of Guinness Ghana, stating:
“Guinness Ghana is performing strongly, powered by a fantastic team of people. Through this transaction, I look forward to the Guinness brand continuing to thrive and delivering further growth. I am excited to extend our partnership with Castel, a long-term partner in the region with a proven track record.”
Gregory Clerc, Chief Executive Officer of Castel, shared his insights on the acquisition, stating, “This acquisition exemplifies the entrepreneurial spirit that drives Castel and marks a new milestone in our growth ambition.”
He emphasized that the partnership demonstrates Castel’s commitment to exploring new horizons in a continent rich with opportunities.
Backstory
Effective September 30, 2024, Guinness Nigeria PLC (the “Company”) announced the successful completion of the sale of Diageo’s shareholding in Guinness Nigeria to Tolaram for N104 billion.
- In June 2024, Diageo and Tolaram announced their intention to execute a transaction in which Diageo would transfer its 58.02% stake in Guinness Nigeria, thereby establishing Tolaram as the new majority shareholder.
- This agreement also includes long-term license and royalty arrangements that will facilitate the continued production, marketing, and sale of the Guinness brand, along with all locally manufactured Diageo ready-to-drink and mainstream spirits brands in Nigeria.
In response to the completion of this share transfer, Board Chair Dr. Omobola Johnson expressed optimism, stating,
Additionally, Diageo’s recent divestment of shares in Guinness Ghana Breweries plc to Castel Group underscores the company’s operational flexibility and commitment to expansion across the continent.
Source: Agencies/Diageo
