Ex-Diageo Boss Eyes £2bn Peroni, Grolsch Bid

The former chief executive of Diageo (LSE: DGE.L - news) is exploring a potential £2bn takeover of the Peroni and Grolsch beer brands, which are being earmarked for sale following the brewing industry's biggest-ever merger.

Sky News has learnt that Paul Walsh, one of Britain's most prominent businessmen, is in the early stages of working with TPG Capital, the buyout firm, on an offer for the brands.

The deliberations are at an early stage and may not result in a formal offer being made by TPG (Taiwan OTC: 6521.TWO - news) , according to insiders.

A number of other private equity firms are also understood to be looking at acquiring the two global products, along with Meantime, the craft beer.

The portfolio of brands is being prepared for sale by Anheuser-Busch InBev, which last month agreed a $108bn takeover of SAB Miller, the FTSE-100 brewer.

AB InBev believes the sale of premium brands such as Peroni and Grolsch will help to secure regulatory approval from Brussels, which has powers to block the deal.

In a statement earlier this month, AB InBev confirmed media reports that it was examining a sale of the brands.

"In line with its commitment to promptly and proactively address potential regulatory considerations Anheuser-Busch InBev SA/NV, in close cooperation with SABMiller plc (Xetra: BRW1.DE - news) , is exploring the sale of a number of SABMiller's European premium brands and related businesses," it said.

"AB InBev will contact potential purchasers in the coming weeks to assess their interest in the Peroni and Grolsch brand families and their associated businesses in Italy, the Netherlands and the UK and, given the brand’s premium positioning, UK-based Meantime."

Peroni and Grolsch are two of SABMiller’s four global brands, the others being Miller Genuine Draft and Pilsner Urquell.

Mr Walsh has an existing relationship with TPG, and last week agreed to become chairman of the Myanmar Distillery Company, in which the investment firm has bought a 50% stake.

Since leaving Diageo, the owner of Guinness and Johnnie Walker, Mr Walsh has taken on a string of boardroom roles at companies including Compass, the contract caterer, and HSBC Holdings (HKSE: 0005.HK - news) .

He is also a member of David Cameron's Business Advisory Group.

Buyout firms are unlikely to be the only bidders for Peroni and Grolsch.

Analysts believe that Carlsberg (Other OTC: CABGY - news) , the Danish brewer, is the most likely bidder for a combined purchase of the two brands, although a split transaction whereby Heineken (Other OTC: HEINY - news) buys Peroni and Carlsberg buys Grolsch is also possible, according to some.

TPG could not be reached for comment on Monday, while CVC (Taiwan OTC: 4744.TWO - news) declined to comment.