2 1 Shi Ji Jing Ji Bao Dao·2026-01-14 00:11Core Viewpoint - Diageo is considering divesting its Chinese assets, including a potential sale of its stake in Sichuan Shui Jing Fang, as part of a strategy to streamline its global business portfolio [2][3]. Group 1: Asset Disposal Strategy - Diageo has engaged Goldman Sachs and UBS to evaluate its business in China, particularly its over 63% stake in Shui Jing Fang, and has begun exploratory discussions with local strategic investors and private equity firms [3]. - The discussions regarding the potential sale are still in the early stages, and Diageo has not made any final decisions or commitments to proceed with any transactions [3]. Group 2: Market Speculation and Historical Context - Speculation about the sale of Shui Jing Fang has been ongoing for a year, closely linked to Diageo's broader asset disposal strategy initiated by the previous CEO to cut costs [4]. - Diageo has faced challenges in the Chinese white liquor market, with declining sales impacting Shui Jing Fang, which has been highlighted in recent financial reports [4]. - The company has been actively selling assets in various regions, including Europe, Africa, and Latin America, with notable transactions such as the $2.3 billion sale of stakes in East African breweries to Asahi Group [5]. Group 3: Leadership Changes - The arrival of new CEO Dave Lewis has reignited speculation about the potential sale of Shui Jing Fang, as he is known for decisive and aggressive cost-cutting measures from his previous roles [6]. - The new CEO has not yet publicly outlined his operational strategy, with expectations for more details to emerge during the mid-term financial report in February [7].