Alcoholic beverage producer Diageo has paid an undisclosed amount for a majority stake in UK-based non-alcoholic spirit brand Seedlip, a portfolio company of Diageo-funded accelerator Distill Ventures.
Founded in 2015, Seedlip produces alcohol-free distilled spirits that contain blends of ingredients which emulate the taste of heavy liquors, making them suited for mixing alcohol-free cocktails or as a standalone non-alcoholic beverage.
The company’s drinks are stocked by some 7,500 hospitality premises globally and it claims to supply more than 300 Michelin star-rated restaurants. Founder Ben Branson will retain a stake in the company as well as a position on its board of directors.
Distill Ventures invested an undisclosed amount in Seedlip in 2016. The accelerator was formed by Diageo in 2013 and has to date provided more than $61m for 15 beverage-focused startups, investing between $300,000 and $12m per business.
John Kennedy, president for Europe, Turkey and India at Diageo, said: “Seedlip is a game-changing brand in one of the most exciting categories in our industry.”
Image courtesy of Seedlip Ltd.