Diageo has entered into a definitive agreement to acquire Casamigos, the fastest growing super-premium tequila brand in the US. This is an exciting opportunity for Diageo to strengthen its participation in the fast growing tequila category, as well as expand the brand internationally. The transaction values Casamigos at up to $1bn, with initial consideration set at $700m and a further potential $300m based on a performance linked earn-out over 10 years, reflecting the brand’s exceptional growth trajectory and upside potential.