From Bottles to Brands: Diageo’s Next Chapter When Diageo announced in May 2025 that it would sell its Santa Vittoria d’Alba production facility to Italian food and beverage group Newlat Food—soon to rebrand as NewPrinces—the industry barely blinked. No ticker shock. No headlines screaming about a collapse. But dig deeper, and this move tells us a lot about where the global spirits market is headed—and what matters now more than ever: agility, premiumization, and the illusion of still being everywhere while actually owning far less ground. For Diageo, it wasn’t just about a plant. It was about a mindset shift. What Exactly Was Sold? Let’s set the record straight: Diageo didn’t sell any brands. Not a drop of Johnnie Walker, not a whisper of Baileys. The transaction centered around the manufacturing plant in northern Italy, which had previously been slated for closure in January 2025—affecting 350 jobs 1. Instead of pulling the plug entirely, Diageo inked an exclusivity deal with Newlat in May, offering the Italian company full control of the facility, a commitment to preserve all 349 jobs, and the rights to continue producing select ready-to-drink (RTD) and low/no-alcohol beverages that were previously manufactured at the site 2. So, what changed? Everything—and nothing. The Asset-Light Playbook To understand Diageo’s move, you have to step back from the vineyard and look at the entire estate. The Santa Vittoria plant sale is just one piece of a much broader strategic puzzle. In the past year alone, Diageo has: Exited its stake in Guinness Ghana to Castel Group for $81 million 3. Shut down the Chase Distillery in Herefordshire after just three years, citing brand overlap 4. Abandoned plans to sell Pimm’s, after failing to find a buyer that aligned with their premium portfolio vision 5. It’s textbook modern strategy: offload lower-performing,…