London-based Diageo, a top producer of alcoholic drinks and owner of brands such as Johnnie Walker, Baileys and Guiness, said the deal would close in the second half of this year, subject to regulatory clearances.
Mey Icki's current owners are U.S. private-equity firm
and Turkey-focused private-equity outfit
, Diageo said Mey Icki had full-year 2010 sales of 766 million Turkish lira (about $485 million) and full-year earnings before interest and taxes (EBIT) of 305 million Turkish lira (about $193 million).
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According to the release, Mey Icki is the market leader in Raki, an anise-flavored spirit popular in Turkey, and a leader in vodka sales. Diageo also said the acquisition would give it Mey Icki's extensive sales and distribution network.
The acquisition will be accretive to Diageo's earnings by about 1% in the first year, the release said.
Shares of Diageo finished Friday up 91 cents in New York at $78.06.
This article was written by a staff member of TheStreet.