The 1997 merger of Guinness and Grand Metropolitan formed Diageo.
Guinness was a famous Irish brewer, while Grand Metropolitan was a British leisure and drinks group that owned brands including J&B whisky and Smirnoff vodka. Their combination created a major international beverage company rather than simply expanding Guinness as a brewing business.
Diageo’s name combines parts of the Latin word for “day” and the Greek word for “world.” The company became known for spirits and beer brands such as Johnnie Walker, Smirnoff, Baileys, Guinness, and Tanqueray.
A common mix-up is confusing Diageo’s creation with later acquisitions. Diageo bought Seagram’s spirits and wine businesses in 2001, but that transaction did not create the company. The defining corporate event was the 1997 Guinness–Grand Metropolitan merger.