Kenya Approves Asahi's $2.3 Billion Diageo Buyout

Kenya’s competition authority approved Asahi Group Holdings’ acquisition of Diageo’s Kenyan assets, clearing the path for the Japanese company to secure full control of the operations.

The decision supports a $2.3 billion deal announced in December 2025, in which London-listed Diageo agreed to sell its 65 per cent stake in East African Breweries Limited (EABL) as part of a broader exit from the African market.

Regulators approved the transaction involving Diageo Kenya Limited and UDV Kenya Limited under specific antitrust conditions to protect local competition.

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The competition authority mandated that the merged entity reserve at least 20 per cent of its retail refrigeration space for competing brands.

Additionally, the regulator instructed EABL to set aside funds to cover outstanding liabilities and preserve supply continuity for small businesses.

Kenya approves Asahi's $2.3 billion Diageo buyout (News Central TV) — Kenya approves Asahi’s $2.3 billion Diageo buyout. Credit: Reuters

The regulatory clearance follows months of legal hurdles in Kenya, including a lawsuit by distributor Bia Tosha that courts dismissed in April.

To resolve remaining legal delays, EABL urged Kenya’s chief justice in June to expedite related court hearings.

The approval ensures that Asahi can complete its expansion while maintaining market access for smaller, non-EABL beverage brands across Kenya.

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Abisoye Adeyiga

Abisoye Adedoyin Adeyiga holds a PhD in Languages and Media Studies and a Master’s in Education (English Language). Trained in digital marketing and investigative journalism, she is passionate about new media’s transformative power. She enjoys reading, traveling, and meaningful conversations.