Diageo has confirmed the sale of fruit-flavoured liqueur brand Safari to Portuguese beverage-alcohol company Casa Redondo.

Primarily sold in Benelux, Portugal and Türkiye, the alcohol manufacturer said Casa Redondo was the “right owner” to take Safari into its next chapter of growth across Europe and beyond.

Diageo’s president for Europe John Kennedy said: “The sale of Safari reflects Diageo’s commitment to delivering consistent growth and value creation for shareholders.

“This transaction will allow us to further concentrate on our core areas of strength, including tequila and whisk(e)y, as we accelerate towards our ambition; to be one of the best performing, most trusted and respected consumer products companies in the world.”

Subscribe to Grocery Gazette for free

Sign up here to get the latest grocery and food news each morning

Casa Redondo chief executive and chief financial officer Daniel and Ricardo Redondo added: “We are thrilled to announce the acquisition of Safari from Diageo. This transaction underscores our commitment to expanding our portfolio with premium offerings that resonate with consumers globally.

“We look forward to integrating this brand into our family, continuing to innovate for our customers, whilst ensuring exceptional quality.”

The sale follows speculation earlier this year that Diageo was exploring the sale of summer beverage staple Pimm’s alongside Safari and rum brand Pampero, in what industry experts had initially though might be sold as a trio.

Earlier this week, it was also understood that city analysts had identified Diageo as a prime candidate for a takeover attempt, as the drinks giant’s shares hit the lowest since 2020.

It comes after the company has suffered a turbulent few months, leading the FMCG to issue a profit warning in November 2023 amid rumours that it is seeking to sell its beer brands as profits hit a three-year low.