The board of directors of Guinness Ghana Breweries PLC has announced that Diageo Holdings Netherlands BV has agreed to sell its entire 80.4% shareholding in the Company to Castel group, in return for cash consideration equal to GH₵5.15 per share in the Company.

The purchase price in cedis is to be converted into U.S dollars at a rate agreed between Diageo and Castel and will be paid to Diageo in US dollar at completion of the Transaction.

"In connection with the Transaction, the Company and Castel will enter into new licence and royalty agreements to allow the Company to continue to brew, produce and distribute Guinness and the other Diageo brands which are currently produced by the Company in Ghana", a statement from Guinness Ghana said.

Since the 1960s, Castel has been one of the leading beverage companies on the continent and has forged partnerships with several leading consumer multinational companies.

"Diageo remains deeply committed to Ghana and in partnership with Castel, Diageo will continue to drive the brand and marketing strategy for Guinness in Ghana, to ensure Diageo’s exceptional capabilities in brand building and innovation continue to drive long-term growth for Guinness in Ghana".

The Transaction is expected to complete this calendar year, subject to obtaining relevant regulatory approvals. It remains business as usual at Guinness Ghana and we do not envisage any changes to operations or impact on employees.

The Company will, immediately following completion of the Transaction, remain listed on the Ghana Stock Exchange.