Following the news of Diageo's sale of much of its wine business last month, the spirits giant announced the sale of its Argentinian wine interests today.
The deal, expected to be completed early next year, sees Grupo Peñaflor acquire brands such as Navarro Correas and San Telmo. Net sales of Diageo's Argentinian assets were worth £18.5m in the year to 30 June 2015.
In addition, Peñaflor will become Diageo's dedicated distributor for its spirits in the country, and will eventually produce the company's domestic spirits too. The company expects that having a dedicated distributor in the country 'will strengthen Diageo's route to market and is expected to accelerate the performance of Diageo's brands there'.
Last month's acquisition of brands such as Blossom Hill and Piat d'Or from Diageo by Treasury Wine Estates was worth £361m. This wasn't an entirely unexpected move from an increasingly spirits-focused Diageo, which notably also sold Gleneagles Hotel and Golf Course in July.