Diageo acquires majority stake in non-alcoholic spirit maker Seedlip to tap into teetotalling trend

The deal comes at a time when the teetotalling trend has emerged in Great Britain, which means that a growing proportion of young drinkers claim to abstain from drinking alcohol.
  • vaishnavi News Editor
Diageo

Diageo, the world’s largest spirits company, has acquired a majority stake in distilled non-alcoholic spirits brand Seedlip. With this, the maker of Johnnie Walker whisky and Tanqueray gin is catering to a growing population of teetotalers.

The company bought a 20% stake in Seedlip in 2016 through its venture capital arm Distill Ventures, which invests in small businesses it believes have the potential to make a splash in the industry.

So far, Distill Ventures has invested over 60 million pounds in about 15 drinks brands.

The deal comes at a time when the teetotalling trend has emerged in Great Britain, which means that a growing proportion of young drinkers claim to abstain from drinking alcohol. In Great Britain, Teetotalism rose to 22% in 2017 from 19% in 2005 for those aged between 16 and 24 years.

Seedlip was founded by Ben Branson in three spice variants. The brand has a presence in more than 25 countries, including the UK, Australia and the United States.

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