If Scotch Continues to Deliver, so will Diageo

Dear Client: Demand for Scotch whisky has exploded in recent years, and the major spirits companies are rushing to expand their production capabilities to keep up. But the category 's growth is only "part way" into a major super-cycle, according to a new analyst note from Redburn. Recall Diageo pledged a $1.5 billion investment in the category, Pernod Ricard has increased malt production capacity by about 35% - 40%, Remy Cointreau's Bruichladdich distillery has doubled capacity, and Beam and LVMH