Emperador completes Whyte & Mackay takeover
Diageo has completed the £430 million sale of Scotch whisky business Whyte & Mackay to Philippines drinks group Emperador.
Owned by Diageo-controlled Indian drinks group United Spirits, Whyte & Mackay was put on the market to mitigate competition concerns raised by the UK’s Office of Fair Trading.
The OFT said there was “substantial competition in the retail sector between Bell’s whisky, a Diageo label, and Whyte & Mackay’s own-label and branded blended whisky”, hindering Diageo’s acquisition of United Spirits.
In February this year, Emperador agreed to purchase the Scotch firm, which includes the Jura, The Dalmore, Fettercrane and Tamnavulin distilleries, for £430m.
The deal was completed on Friday, with Emperador chairman Andrew Tan saying he now looked forward to “developing a Scotch whisky drinking culture in the Philippines”.
“We are going to officially launch and sell the existing Whyte & Mackay products, especially The Dalmore, Jura and Whyte & Mackay in the Philippines soon,” he added.
At the time of the initial acquisition agreement, Tan said Whyte & Mackay would give Emperador increased access to its 50 markets around the world.
As part of the takeover deal, Emperador will supply whisky to United Spirits for three years.
In September this year, United Spirits reported a net sales loss of £445m in 2013/14 due to a significant write-down of its Whyte & Mackay business, which it purchased for £525m.