Diageo plc and Pernod Ricard SA today confirm that they have signed an agreement to acquire the spirits and wine business of The Seagram Company Ltd., for US$8.15 billion (£5.5 billion) in cash on a debt free basis. The purchase consideration will be funded by Diageo and Pernod Ricard as to $5.0 billion by Diageo and as to $3.15 billion by Pernod Ricard. The agreement is principally conditional on clearance by the anti-trust regulatory authorities.