We are delighted to announce that Diageo has reached an agreement to acquire Don Papa Rum, a super-premium, dark rum from the Philippines. The upfront consideration is €260 million with a further potential consideration of up to €177.5 million through to 2028 subject to performance, reflecting the brand’s current growth potential.
This acquisition will enable us to strengthen our position in the exciting rum category which is in early stages of premiumisation and has a compound annual growth rate (CAGR) of 18% in Europe and 27% in the US between 2016-2021.
Founded by entrepreneur Stephen Carroll, together with Andrew John Garcia, Dom Papa Rum has gone from strength to strength since its launch in 2012, consistently outperforming the market in Europe. It is currently available in 30 countries, with France, Germany and Italy being its largest markets.
The rum has a unique flavour profile, highly distinctive packaging and an authentic brand story rooted in the beautiful island of Negros Occidental — known locally as ‘Sugarlandia’. The combination of local sugar cane and oak barrel ageing in a hot tropical climate provides the foundation for Don Papa Rum’s long, rich-textured finish, which carries flavours of vanilla, honey, and candied fruits.