In a further unexpected shakeout from their joint acquisition of Seagram, Pernod Ricard and Diageo have announced two acquisitions from the former Seagram spirits portfolio. Pernod Ricard is to take on Passport Scotch whisky which was initially acquired jointly by the two companies and was expected to be sold off to a third party.

Meanwhile, it has also been announced that Diageo is to acquire the Don Julio tequila brand from Pernod Ricard. The French drinks group originally took over the brand as part of Seagram's Mexican assets.

Passport has annual sales of around 850,000 cases, with its main export strongholds in the US, South Korea and Brazil. The sale of Passport will become effective once regulatory approval has been gained.

Diageo already has the Cuervo tequila brand in its portfolio but Don Julio is an ultra-premium brand and the deal also includes the Don Julio agave fields and production plant. Pernod Ricard said it now intends to focus on its other tequila brands, Olmeca, Viuda de Romero and Margaritaville.