High Court clears Diageo’s EABL stake sale to Asahi, dismisses Bia Tosha bid

KENYA – The High Court of Kenya has dismissed an application by beer distributor Bia Tosha seeking to block the sale of Diageo’s 65% stake in East Africa Breweries Limited (EABL) and its holding in UDV Kenya to Japan’s Asahi Group Holdings. The ruling clears a major hurdle for the transaction, which is expected to rank among the largest corporate deals in Kenya. “The petitioner’s notice of motion dated 5th January 2026 is hereby dismissed,” said High Court Judge Bahati Mwamuye, adding that any orders that could impede the completion of the deal were lifted. Diageo announced in December that it had agreed to sell its stake in EABL as part of a broader strategy to reduce debt and revive growth. The deal is valued at approximately Ksh 300 billion and will see Asahi take full control of Diageo Kenya Limited, the investment vehicle holding the stake in EABL. Asahi will also acquire Diageo’s 53.68% shareholding in UDV Kenya, where EABL retains the remaining stake and operational ...