Diageo Sells Majority Stake in Guinness Nigeria to Tolaram


Diageo, the major foreign shareholder in Guinness Nigeria Plc, has agreed to sell its controlling equity stake of 58.02% to Tolaram, a Singaporean multinational corporation.

The agreement, signed on Tuesday, outlines that Tolaram will acquire Diageo’s 58.02% shareholding in Guinness Nigeria and enter into long-term license and royalty agreements for the continued production of the Guinness brand and Diageo’s locally manufactured ready-to-drink and mainstream spirits brands.

With this acquisition, Tolaram will also undertake a mandatory tender offer to acquire shares from minority shareholders, potentially increasing its controlling stake further.

The board of Guinness Nigeria announced in a regulatory filing with the Nigerian Exchange (NGX) that the transaction is expected to be completed in 2025, pending necessary regulatory approvals in Nigeria.

“Diageo remains deeply committed to Nigeria and will retain ownership of the Guinness brand, which will be licensed to Guinness Nigeria for the long-term. This will facilitate the next phase of growth and development for Guinness Nigeria under Tolaram’s stewardship,” a statement from Guinness Nigeria read.

Tolaram, with a five-decade presence in Africa, is one of the continent’s largest consumer packaged goods companies and has established joint ventures with several leading multinational consumer companies.

Guinness Nigeria emphasized that in partnership with Tolaram, Diageo will continue to drive the brand and marketing strategy for Guinness in Nigeria, leveraging Diageo’s capabilities in brand building and innovation to ensure sustained growth.

Following the completion of the transaction, Guinness Nigeria will remain listed on the NGX, although recent acquisitions in the market have sometimes led to full takeovers and delistings of companies.

Guinness Nigeria’s Chairman, Omobola Johnson, highlighted the acquisition as a significant growth opportunity. “This partnership combines Tolaram’s deep expertise in manufacturing and distribution with Diageo’s exceptional brand-building and innovation capabilities. It positions Guinness Nigeria well for further market growth,” Johnson said.

Guinness Nigeria’s Managing Director, Adebayo Alli, described the announcement as an exciting development for the company, its employees, and customers. “I look forward to working with Tolaram, one of Africa’s most respected consumer goods companies, which shares our values and commitment to building a sustainable business,” Alli said.

Haresh Aswani, Managing Director of Tolaram Africa, expressed enthusiasm for the acquisition. “This strategic move will expand our footprint in the Nigerian market and leverage our combined strengths to foster innovation and deliver immense value to our customers and shareholders across the nation,” Aswani said.

Mike Ojo

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