Diageo is reportedly considering selling its Chinese assets as part of a strategic overhaul led by its new chief executive, Dave Lewis. According to Bloomberg, Diageo is working with Goldman Sachs and UBS to review its operations in China, where sales have been declining. The company owns a controlling stake in Sichuan Swellfun, a Shanghai-listed baijiu distributor whose shares have fallen sharply over the past year.
Lewis, who took over on 1 January, is known for aggressive cost-cutting during senior roles at Unilever and Tesco. Diageo, whose brands include Guinness, Johnnie Walker and Smirnoff, faces pressure from falling Chinese demand, shifting consumer attitudes to alcohol, high debt and the impact of tariffs linked to Donald Trump. The review follows Diageo’s recent agreement to sell its stake in East African Breweries to Asahi Group. Lewis succeeded Debra Crew after a turbulent period marked by profit warnings, supply chain problems and weaker demand in key markets.
