380 Billion Yuan Sichuan Liquor Giant Entangled in Sichuan Swellfun Acquisition Rumors

Deep News01-25

On January 20th, Sichuan Swellfun Co.,Ltd. forecasted a severe plunge of over 70% in its 2025 net profit, which had previously fueled market speculation about a potential sale by its major shareholder, Diageo, with Sichuan Liquor Group emerging as one of the rumored buyers. In mid-January, Sichuan Liquor's Chairman Cao Yong led a team on an inspection tour, having stated at the end of 2025 that the company aims to surpass 45 billion yuan in revenue and achieve 3 billion yuan in taxes and profits by 2030. In 2024, Sichuan Liquor Group reported revenue of 38 billion yuan, with its asset scale multiplying 26 times, boasting a production capacity of 600,000 tons and storage capacity of 1 million tons. However, the group possesses few proprietary brands and lacks a strong presence in the premium segment, with profits stagnating at low levels from 2021 to 2024. Acquiring Sichuan Swellfun, which has annual revenue of approximately 3 billion yuan, could address its brand portfolio weaknesses, but advancing such a merger faces significant funding challenges; if finalized, it could potentially accelerate the group's ambition to break into the "first tier of Chinese baijiu producers."

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