Diageo, the parent company of Guinness Nigeria, has agreed to sell its 58.02% stake in the company to Tolaram Africa. The sale, announced on June 11, 2024, is subject to regulatory approvals and is expected to be completed in Fiscal 2025.
According to the terms of the agreement, Tolaram will acquire Diageo’s majority shareholding in Guinness Nigeria and enter into long-term license and royalty agreements for the continued production of the Guinness brand and other Diageo products. Diageo will retain ownership of the Guinness brand, which will be licensed to Guinness Nigeria for the long-term.
The partnership aims to leverage Tolaram’s expertise in manufacturing and distribution and Diageo’s capabilities in brand building and innovation. The companies believe this combination will drive growth for Guinness Nigeria, which will remain listed on the Nigerian Exchange Ltd. following the transaction.
Guinness Nigeria’s Board Chair, Omobola Johnson, and Managing Director, Adebayo Alli, welcomed the partnership, expressing confidence in Tolaram’s alignment with Guinness Nigeria’s values and commitment to building a sustainable business. Tolaram Africa’s Managing Director, Haresh Aswani, also expressed excitement about the strategic move, which expands Tolaram’s footprint in the Nigerian market.
