Round-Up - The Sale of Whyte & Mackay
In late-November, Diageo offered to sell the bulk of Whyte & Mackay to head off a competition inquiry in the UK. Here's a round-up of just-drinks' coverage of the news.
Emperador Inc is set to acquire Scotch whisky producer Whyte & Mackay from Diageo-controlled United Spirits for GBP430m (US$729m).
It looks like 2014 is shaping up to be the year of surprises in the spirits industry. First up, in January, we saw Beam Inc head in a direction that few of us foresaw. Then, today, Whyte & Mackay has been lined up to get a new – and equally unexpected – owner.
After months of speculation, a buyer for Scotch whisky producer Whyte & Mackay finally emerged today (9 May). Philippines-based Emperador Inc has agreed to acquire the business from Diageo-controlled United Spirits for GBP430m (US$729m). Here, just-drinks offers a more detailed look at Emperador:
Brandy producer Emperador Inc has revealed it is in talks with Diageo-controlled United Spirits over acquiring Whyte & Mackay.
Diageo has secured a second spirits brand to appear on the Formula One starting grid, with Smirnoff set to replace Whyte & Mackay on the Sahara Force India F1 car.
Gruppo Campari's CEO has sidestepped questions over a possible swoop for Whyte & Mackay (W&M), insisting the company will first focus on assimilating new acquisitions.
Private equity firm Lion Capital has declined to comment on a report it has teamed up with Whyte & Mackay's (W&M) former CEO to table a bid for the Scotch whisky producer.
Pernod Ricard maintains that the reliance of its Martell Cognac brand on the Chinese market is not a concern, despite a marked fall in the brand's performance there in the company's fiscal first half.
Suntory has denied it is bidding to acquire Scotch whisky producer Whyte & Mackay.
One of the spirits industry's longer-running sagas gained an extra chapter this week when Diageo announced that it is willing to sell off a large chunk of Whyte & Mackay (W&M).
Vivian Imerman, the man who sold Whyte & Mackay to Vijay Mallya's UB Group in 2007, has publicly expressed an interest in buying back the Scotch whisky producer from Diageo.
Does Diageo really care that it may have to offload a large chunk of Whyte & Mackay? I have the sneaking suspicion that the firm probably doesn't.
It would seem, then, that Whyte & Mackay is poised to welcome yet another new owner in the months to come.
Diageo has offered to sell the "bulk" of Whyte & Mackay after the UK's Office of Fair Trading (OFT) concluded that its acquisition of the Glasgow-based Scotch producer could lead to a "substantial lessening" of competition in the whisky market.
What is one to make of this week's news that Scotch whisky producer Whyte & Mackay (W&M) has installed former Diageo man Bryan Donaghey as its new chief executive?
Whyte & Mackay has appointed the former head of Diageo's production business in Scotland as its new CEO, just-drinks can exclusively reveal.
Diageo has confirmed that Whyte & Mackay's (W&M) “independence” will remain and its management kept separate, at least until the UK's competition authority has completed its review.
Whyte & Mackay is likely to be sold off in the wake of Diageo's United Spirits deal, with Gruppo Campari a potential buyer of the Glasgow-based business, according to an analyst.
Diageo boss Paul Walsh has said he is “ambivalent” about the possible prospect of losing Whyte & Mackay to ensure the United Spirits deal goes through.
Diageo has agreed a deal to acquire a 53.4% controlling stake in United Spirits for INR111.7bn (US$2.05bn), the companies said today.
As the speculation linking a tie-up between Diageo and the UB Group in India intensifies, it's clearly only a matter of time before a deal is sealed. The main sticking points at this stage of talks between the two will be - obviously – value, and - inevitably – what to do with Whyte & Mackay.
- Ten questions for Diageo - Analysis
- Have spirits companies forgotten the mainstream?
- How craft beer has shattered its US shackles
- Ashwagandha - The next functional drinks trend?
- New CEO sparks optimism at Coca-Cola - Analysis
- Moet Hennessy unaffected by LVMH Dior buy
- BrewDog moves into spirits with LoneWolf launch
- Portman Group heads to Tesco for new chief exec
- William Grant names Europe & NA Travel Retail head
- Johnnie Walker Bourbon Cask & Rye Finish - NPD
- Global Scotch insights - market forecasts, product innovation and consumer trends
- Global Champagne and sparkling wine insights - market forecasts, product innovation and consumer trends
- Battle of the Generations - The fight for iGen, Millennial, Gen X and Baby Boomer consumers
- Craft Beer: Coming of Age or Past Its Prime?
- Myanmar - ISA Country Report