Diageo shares surge on Brazilian bid report
Shares in Guinness brewer Diageo jump
London - AFP
Shares in alcoholic drinks giant Diageo jumped Monday on reports of a potential Brazilian takeover bid for the maker of Guinness stout and Foster's lager.
Diageo's share price surged 6.50 percent to 1,875 pence around midday on London's FTSE 100 index of top companies, which fell 0.21 percent to 6,790.93 points.
Brazilian newsweekly Veja reported that the nation's richest man, billionaire Jorge Paulo Lemann, and his partners in private equity firm 3G Capital were considering a bid for Diageo.
A Diageo spokesman declined to comment on the matter.
New York-listed shares in Diageo had already leapt in value last Friday after the reports emerged and after the London market had closed for the weekend.
The company, which also makes Johnnie Walker whisky and Smirnoff vodka, is one of the world's largest producer of spirits.
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