Kenyan distributor asks court to block Diageo stake sale to Asahi

Core Viewpoint - Bia Tosha, a former distributor for Diageo in Kenya, is seeking to block the sale of Diageo's stake in its Kenyan business to Asahi due to unresolved legal issues with Diageo's operations in the country [1][2]. Group 1: Legal Actions - Bia Tosha has applied for an ex parte injunction to halt the stake sale, which was refused by the court as it requested to hear from both parties involved [1]. - The legal action stems from a case dating back to 2016 against East African Breweries Limited (EABL) and its subsidiary Kenya Breweries, related to a dispute over a distribution contract [2]. Group 2: Business Transactions - Asahi has agreed to pay $2.3 billion for Diageo's business in Kenya, which includes a majority stake in East African Breweries [3]. - The sale marks Diageo's exit from its final beer production asset in Africa, a move anticipated by industry analysts following previous disposals in the region [3]. Group 3: Market Context - Asahi's acquisition raised questions due to its limited presence in the African market, which is largely dominated by competitors such as Heineken and Castel [4].