Diageo says no intention to sell Guinness brand or Moet Hennessy stake

(Sharecast News) - Drinks maker Diageo said on Sunday that it has no intention to sell its Guinness brand or its stake in Moët Hennessy. The very brief statement came after Bloomberg reported on Friday that Diageo was reviewing its portfolio, including Guinness beer and a Champagne and Cognac partnership with LVMH, as chief executive officer Debra Crew looks to revive growth.

Citing people familiar with the matter, Bloomberg said that Diageo was studying a range of possibilities, including a potential spinoff or sale of Guinness, which would likely be valued north of $10bn.

The company could run a dual-track process for the beer brand, weighing a listing while also gauging takeover interest, if it decides to proceed, sources told Bloomberg.

It was also understood that Diageo's 34% stake in LVMH's drinks division, Moet Hennessy, was under review.