George Clooney bags $1bn deal for co-owned tequila brand

2017-06-22 10:45
george clooney

New York — Global liquor behemoth Diageo said on Wednesday it will pay up to $1bn to buy a tequila brand co-founded by movie star George Clooney.

Clooney founded the Casamigos brand four years ago with partners Rande Gerber and Mike Meldma.

Diageo said it will pay $700m for Casamigos at first, and then pay another $300m over 10 years if the brand reaches certain performance milestones.

London-based Diageo's other brands include Johnnie Walker, Guinness and Captain Morgan.

Diageo president in North America, Deirdre Mahlan said on Twitter: "We believe Casamigos will play a complementary role alongside our existing tequila portfolio and we look forward to partnering with the founders to realise its full potential."

Clooney and Gerber, an entrepreneur who is married to model Cindy Crawford, have appeared in ads for the brand.

Diageo says the founders will continue to promote Casamigos and have a say in its future.

The deal is expected to close in the second half of this year.

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