LVMH denies Moët Hennessy sale reports - 22/04/09
Source: ©The Moodie Report
By Mary Jane Pittilla
FRANCE. LVMH Moët Hennessy Louis Vuitton, the world’s leading luxury products group, has taken the unusual step of officially denying newspaper reports today that suggest the group is in discussions to divest Moët Hennessy, its Wines & Spirits division.
In a press release, the company said: "LVMH confirms that no such negotiations are taking place."
Click the image above to read the Daily Telegraph's report on the rumoured takeover of Moët Hennessy
A report in today's London-based Evening Standard newspaper states: "British drinks group Diageo is planning an audacious 'Black Velvet' takeover, with the giant behind Guinness putting in a bid to buy the owner of Champagne houses Krug, Dom Perignon and Moët et Chandon."
The article continues: "Diageo has reportedly offered to buy Moët Hennessy, the wines and spirits arm of LVMH, the French luxury goods group, for €12 billion (£10.7 billion).
"The deal would create one of the world's greatest corporate drinks trolleys, merging Diageo's portfolio, which also includes Smirnoff vodka, Johnnie Walker whisky, Baileys liqueur and Captain Morgan rum, with LVMH's upmarket portfolio."
The rumours are echoed in the UK-based Daily Telegraph
newspaper, which further states in its report: "Executives close to the situation said bankers have been working on the plans for some weeks, but warned that they are still at a very early stage and no approach had been made to LVMH. Diageo may yet decide not to table a bid."
LVMH's Wines and Spirits portfolio includes Moët & Chandon, Dom Pérignon, Veuve Clicquot Ponsardin, Krug, Ruinart, Château d'Yquem, Hennessy, Glenmorangie, Ardbeg, Belvedere Vodka, Chopin, 10 Cane, Chandon, Cloudy Bay, Terrazas de los Andes, Cheval des Andes, Green Point, Cape Mentelle and Newton.
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