Diageo has agreed with Casa Cuervo for the acquisition of full global ownership and control of the growing brand, Tequila Don Julio, and the early termination of Casa Cuervo’s production and distribution agreement for Smirnoff in Mexico. In return, Diageo has reached an agreement to sell Bushmills to Jose Cuervo Overseas. The transaction will result in a net payment of $408 million to Diageo, which is expected in early 2015 subject to approvals. “This transaction delivers two key objectives for us,” said Ivan Menezes, CEO of Diageo. “We have secured our position in the growing super and ultra-premium segments of the tequila category and further strengthened our global footprint by expanding our leading position in Mexico, where the growth of spirits has great potential.”