Court dismisses petition seeking to stop EABL-Diageo shares deal

The High Court has dismissed an application by JILK Construction Limited seeking to halt the proposed acquisition of East African Breweries Limited (EABL) shares by Japan-based Asahi Group's partner, Diageo, a global spirits giant. JILK Construction Limited had filed a petition seeking to stop the deal, citing concerns over the potential impact on the Kenyan economy and job losses. However, the court has ruled in favor of Diageo, paving the way for the acquisition to proceed. The deal, which is valued at approximately KES 76 billion, marks a significant expansion for Diageo in the East African market, where EABL is a leading player in the brewing industry. With the court's decision, Diageo is now poised to strengthen its presence in the region, potentially leading to increased investment and economic growth.