Allied Domecq on Fortune Brands' hit list

4 April, 2005

US spirits giant Fortune Brands is considering leading a consortium to acquire Allied Domecq.

The Sunday Times reports that Fortune, owner of brands including Jim Beam and Knob Creek has asked investment bank CSFB to draw up a shopping list of European drinks acquisitions.

Top of the agenda is likely to be a £6.5bn bid for Allied Domecq, owner of Tia Maria, Courvoiser and Malibu. To avoid regulatory concerns, Fortune could join forces with Pernod Ricard of France to split up the Allied brands.

Allied has been at the centre of bid speculation for several months, with Fortune seen as a front runner to cherry pick its brands.