Diageo terminates talks with tequila giant Jose Cuervo
Diageo, the FTSE 100 drinks group which owns brands such as Johnnie Walker, Smirnoff and Guinness, has announced that it has called off talks to buy tequila giant Jose Cuervo after being unable to 'agree a transaction'.
Diageo, the FTSE 100 drinks group which owns brands such as Johnnie Walker, Smirnoff and Guinness, has announced that it has called off talks to buy tequila giant Jose Cuervo after being unable to 'agree a transaction'.
The London-listed beverage firm already distributes Jose Cuervo in North America and Europe but has said that it will now terminate the current distribution agreement at the end of June 2013.
"Diageo has had a long and successful relationship with the Cuervo brand and we are proud of what we have achieved for the brand as its distributor over many years," said Chief Executive Paul Walsh.
Subscribe to MoneyWeek
Subscribe to MoneyWeek today and get your first six magazine issues absolutely FREE
Sign up to Money Morning
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
Don't miss the latest investment and personal finances news, market analysis, plus money-saving tips with our free twice-daily newsletter
"We believe that the future of the brand would be best delivered by aligning ownership of the brand with its route to market and I have no doubt that Diageo has the best route to market for this brand. However it has not been possible to agree a transaction which delivers value for Diageo's shareholders and therefore, by mutual agreement, we have terminated our discussions," he said.
Sign up to Money Morning
Our team, led by award winning editors, is dedicated to delivering you the top news, analysis, and guides to help you manage your money, grow your investments and build wealth.
-
Will the Autumn Budget impact investment markets?
Keir Starmer has warned the Autumn Budget will be “painful”. Will it impact investment markets and should you tweak your portfolio before 30 October?
By Katie Williams Published
-
TSB fined £10.9 million over ‘woeful systems and controls’ for struggling customers
News The Financial Conduct Authority issued the fine for historic failings by TSB after mortgage, loan and credit card customers were treated unfairly
By Marc Shoffman Published