Drinks giant Diageo snaps up Filipino rum maker Don Papa in deal worth up to £388m
Diageo has snapped up Filipino rum maker Don Papa in a deal worth up to £388million as its hunt for upmarket brands continues.
The Guinness, Ciroc and Smirnoff drinks maker will pay £230million up front for the ‘super premium’ brand, with the rest of the price based on its performance.
Don Papa was launched in 2012 by former Remy Cointreau executive Stephen Carroll and is available in 30 countries, including the UK – where a 70cl bottle costs £32.
Drinks deal: Diageo will pay £230m up front for ‘super premium’ Filipino rum maker Don Papa, with the rest of the £388m price based on its performance
Diageo said upmarket rum is among the fastest-growing areas in the drinks business, with Don Papa outperforming rivals.
Don Papa is the latest business to be snapped up by the drinks giant, which has embarked on a wave of take-overs.
In 2017 it bought actor George Clooney’s tequila brand Casamigos in a deal valuing it at up to £820million.
Last year it bought California-based flavoured tequila firm 21 Seeds and Texas craft distiller Balcones.
Boss Ivan Menezes has said Diageo is ‘on the hunt’ for more takeovers and is focused on top shelf brands.