Asahi Group acquires EABL in a landmark transaction that marks the Japanese brewing giant’s first major entry into Africa’s alcoholic beverages market.
The Board of Directors of East African Breweries PLC (EABL) announced today that Diageo PLC has agreed to sell its majority stake in EABL, alongside its shareholding in the Kenyan spirits business, UDV (Kenya) Limited, to Asahi Group Holdings.
The deal positions Asahi as the new majority owner of one of East Africa’s leading beverage companies and signals strong confidence in the region’s long-term economic and consumer growth prospects.
Asahi Group Acquires EABL, Taking Control of Regional Operations
Under the terms of the transaction, Asahi Group acquires EABL and will assume control of operations across Kenya, Uganda and Tanzania. While safeguarding EABL’s well-loved local brands, Asahi plans to introduce globally recognised brands from its international portfolio to East African consumers.
This acquisition represents the first time a Japanese brewing major has made an investment of this scale in an African alcohol beverage business, highlighting the strategic importance of East Africa’s rapidly evolving consumer markets.
The estimated net proceeds from the transaction, after tax and transaction costs, stand at $2.3 billion (approximately Kshs 296.5 billion).
This equates to a multiple of 17 times adjusted EBITDA and implies an enterprise value of $4.8 billion (about Kshs 619 billion) for 100 per cent of EABL.
According to the company, the transaction reflects confidence in EABL’s strong fundamentals, including its modern production facilities, experienced leadership team, established route-to-market, and deep relationships with employees, partners and customers.
Leadership Welcomes New Growth Chapter After Asahi Group Acquires EABL
EABL Managing Director and CEO Jane Karuku said the acquisition aligns with the company’s long-term ambition.
“This acquisition marks a significant step in accelerating our growth ambition of becoming the most celebrated beverage business in Africa. The new majority owner brings significant knowledge and expertise in innovation and growing successful brands globally that will help us achieve that ambition,” Karuku said.
Diageo Interim Chief Executive Officer Nik Jhangiani said the company was proud of what it has built with EABL over the years.
“EABL and Diageo have built the largest beer business in East Africa, a testament to driven people with a passion for the consumers and communities they serve. We are excited to partner with Asahi through the licensing of Diageo brands in the region going forward,” he said.
Jhangiani added that the transaction delivers strong value for Diageo shareholders while supporting the group’s strategy to strengthen its balance sheet and sharpen its focus on core assets.
Asahi Group President and Group CEO Atsushi Katsuki described EABL as a high-quality business with strong market positions.
“This business is a leading company in Kenya, Uganda and Tanzania, with an unrivalled brand portfolio, strong marketing capabilities and state-of-the-art production facilities. Together with its excellent management team and employees, we will pursue sustainable growth and long-term enhancement of corporate value, while contributing to the development of local economies,” Katsuki said.
Regulatory Approval Pending After Asahi Group Acquires EABL
The transaction is subject to regulatory approvals from relevant government agencies and is expected to be completed in calendar year 2026.
EABL confirmed that there will be no changes to its operations or workforce, and no jobs will be affected by the transaction. In the interim, Diageo will continue to support Asahi to ensure a smooth transition and successful transfer of operations.
As Asahi Group acquires EABL, the deal opens a new chapter for one of East Africa’s most established beverage companies, positioning it for sustained growth in an increasingly competitive and dynamic regional market.
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