South Korea: Diageo to revoke Windsor whisky management rights given to Bayside Private Equity and Metis Private Equity

London-based global alcoholic beverage company Diageo plc announced on September 27 it plans to revoke the management rights of the Windsor whisky brand previously given to the Bayside Private Equity and Metis Private Equity (Bayside/Metis) consortium in South Korea, The Korea Economic Daily reported.

Diageo operates from 132 sites around the world, mainly distributing Scotch whisky and other spirits.

In March, Diageo agreed to the sale of the Windsor brand including the W series to Bayside/Metis for an aggregate consideration of 200 billion won ($140.7 million). Under the agreement, Diageo will supply Scotch whisky to the consortium for 10 years.

The alcoholic beverage behemoth claimed the Bayside/Metis consortium failed to fulfill the stipulations laid out in the contract in full and that further details are hard to disclose.

In South Korea, Diageo has two separate corporations, namely Diageo Korea and Windsor Global.

Following the split, the Windsor business in South Korea will be operated by Windsor Global, not Diageo Korea.

Windsor is considered one of the top three whiskies in the world, along with GoldenBlue and Imperial.

Industry insiders say it is unlikely for the company to pursue the Windsor business sale again in the foreseeable future.

27 September, 2022