A&O Shearman advises Asahi on acquisition of Diageo’s East Africa business

A&O Shearman advised Asahi Group Holdings on its acquisition from Diageo of Diageo Kenya Limited (DKL), through which Asahi will indirectly acquire a 65% stake in East African Breweries Limited (EABL), and on the acquisition of 53.68% of the shares in UDV (Kenya) Limited (UDVK). The transaction comprises the purchase of DKL and the majority stake in UDVK. The equity value is USD 2,354 million for DKL and USD 646 million for the 53.68% interest in UDVK. EABL, together with UDVK, markets beer, spirits and RTD beverages across Kenya, Uganda and Tanzania and holds a broad portfolio including beer brands such as Senator, Tusker and Serengeti and spirits brands including Chrome and Kenya Cane. As part of the deal, Diageo and EABL plan to enter into long‑term licences for certain global Diageo brands, including Guinness, Johnnie Walker and Smirnoff Ice, to ensure their continued sale in the East African region. The transaction was signed on 17 December 2025 and is expected to close in the second half of calendar 2026, subject to regulatory approvals. The acquisition forms part of Asahi’s strategy to establish a platform for medium‑ to long‑term growth in Kenya and the wider East African market. A&O Shearman has previously advised Asahi on several high‑value acquisitions, including its USD 11.3 billion acquisition of Carlton & United Breweries, its EUR 7.30 billion acquisition of SABMiller’s Central & Eastern European business, and its EUR 2.55 billion acquisition of Peroni, Grolsch and Meantime. A&O Shearman represented Asahi Group Holdings with a team composed by: Partners Matthew Appleton (Partner, London), Maegen Morrison (Partner, London), Aoife Mac Dermott (Partner, London), Jim Ford (Partner, London), Tokutaka Ito (Partner, Tokyo) and Nick Withers (Partner, London); senior associates Soyeon Lim and Andrew Pang; associates Harriet Steele, Joel Hartikainen, Toluwa Agboola, Priyanka Popat and Andre‑Pierre Cronje. A&O Shearman’s licensing and commercial team on the matter comprised senior associate Magnus Yadi and associates Amy Cheng, Betsy Perry, Millie Fantham and Aled Bennett. The broader advisory team included finance partners Hitomi Komachi and Jane Glancy, antitrust partner James Webber, tax partner Lydia Challen, employment partner Kate Pumfrey, and incentives partners Mahesh Varia and Paul McCarthy.

A&O Shearman advises Asahi on acquisition of Diageo’s East Africa business

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