Beverage News

Diageo to acquire Turkey's Mey Içki

February 22, 2011
/ Print / Reprints /
ShareMore
/ Text Size+

Diageo has reached an agreement to acquire Mey Içki, a leading spirits producer and distributor in Turkey, for a transaction value of approximately $1.8 billion from investment firm TPG Capital and Actera. The transaction is expected to be completed in the second half of this year, subject to regulatory clearances.
 
In the financial year ending Dec. 31, 2010, Mey Içki posted net sales of approximately $410 million. The company is the market leader in raki, the largest spirits category in Turkey, and also has a leading position in vodka. In addition the company has an extensive nationwide sales and distribution network.
 
The acquisition of a leading spirits company in Turkey’s emerging market will allow Diageo to accelerate the growth of its complementary international spirits brands with increased access through Mey Içki’s strong distribution network and customer relationships in Turkey, Diageo said. Mey Içki will be consolidated as part of Diageo Europe and will continue to operate under the current management team.
 
Paul Walsh, Diageo’s chief executive officer said, in a statement: “Turkey is an attractive, growing market for Diageo with strong GDP growth. The acquisition of Mey Içki transforms our existing position in this fast growing spirits market. It gives us leading brands in the major local spirits categories, a superior distribution network and a proven management team. The acquisition of Mey Içki will also provide Diageo with an outstanding platform from which to accelerate the long-term growth of our premium international spirits brands in Turkey.
 
“The acquisition meets our return criterion and delivers top-line growth above the Diageo average, and margin expansion. I am delighted to welcome the Mey Içki brands and management team to Diageo.
 
“This investment represents the continuation of our strategy to increase Diageo’s presence in those emerging markets, such as China and Vietnam, which have a rapidly growing middle class.”

 Did you enjoy this article? Click here to subscribe to Beverage Industry.  

You must login or register in order to post a comment.

Multimedia

Videos

Image Galleries

Wine Riot - Chicago

Second Glass hosted Wine Riot in Chicago on May 2 and 3. Wine Riot offered attendees an all-access pass to hundreds of new wines as well as multiple educational sessions about different wine styles and varietals. (Photos by Jennifer Haderspeck)

6/25/14 2:00 pm EDT

Crafting growth: A look into the bourgeoning craft beer market

Learn how the beer segment is performing and where it is heading, what to consider before expanding your markets and innovations that are captivating consumer audiences.

Podcasts

Maintaining beverage dispensing equipment

Iuliana Nita, Saint-Gobain Performance Plastics global marketing manager of food and beverage, offers her insights about ensuring sanitary performance of beverage dispensing equipment in foodservice applications. She also will offer some tips about choosing the right kind of tubing to handle acidic beverages.

Beverage Industry Magazine

BI July 2014 cover

2014 July

The July 2014 Beverage Industry includes a cover story on the 2014 State of the Industry, as well as articles about PepsiCo Americas Beverages, Rooibee Red Tea kids line, and more. Check it out today!

Table Of Contents Subscribe

Beverage Insider eNewsletter

Are you an Insider? Subscribe to Beverage Industry’s weekly e-newsletter to receive news headlines, new product information and magazine highlights.   

Best Beverage Categories

Which beverage category will perform the best in the second half of 2014?
View Results Poll Archive

THE BEVERAGE INDUSTRY STORE

cleaning-in-place-dairy-foo.gif
Cleaning-in-Place: Dairy, Food and Beverage Operations, 3rd Edition

This book addresses the principles of cleaning operations, water supply issues and the science of detergents and disinfectants.

More Products

Webinars

Beverage Industry Webinars are an easy, effective and convenient way to get educated and informed on the latest industry trends and topics. All Webinars are FREE unless indicated. For more information, check out our Events page!

STAY CONNECTED

facebook40 twitter    youtubelinkedgoogle+ icon 40px