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Buyer interested in Diageo plant

Amherstburg's Diageo bottling plant slated to be closed in February 2026.
Amherstburg's Diageo bottling plant slated to be closed in February 2026.

There is a potential buyer interested in the Diageo plant in Amherstburg but the union representing its workforce is still pressing to keep Diageo in town.


As part of last Tuesday night’s town council meeting, Mayor Michael Prue said he has been part of meetings with a proponent, who is also in the beverage industry.


Prue had previously said he had heard from multiple groups interested in the property with Premier Doug Ford backing that up recently by stating there are three interested parties in the site. Diageo announced in late August that the company is looking to close it in Feb. 2026 and shift the work from the St. Arnaud St. site to the United States.


“We have been working in this town with one of them,” said Prue. “I’m not at liberty to tell you who they are or where they’re from, but they have made some offers for the Diageo plant and would be desirous of taking over the plant along with its employees.”


The proposal has run into some roadblocks, the mayor reported, but the Town of Amherstburg has had “constant discussion” with Ford’s office, Essex MPP Anthony Leardi, provincial Minister of Economic Development, Job Creation and Trade Vic Fedeli and Invest Ontario.


“The discussions are going very well. We’re hoping the proponent who is wishing to buy this plant is able to do so,” said Prue. 


An alternative structure in Amherstburg is also being looked by the proponent should Diageo choose not to sell the plant, he added. Prue said all 168 unionized employees would stay employed, he added.


“We’re working very hard on this,” he said. “All we can do is wait and see what happens. The big hammer, of course, is held by the premier. The premier has told Diageo that he will delist them if they move away. He can also delist them if they don’t play ball and let this plant be taken over by somebody who wants to keep Amherstburg people employed.”


Ford has previously announced he plans on removing Crown Royal from LCBO shelves and possibly other Diageo products as well should the company follow through with the closure.


Prue said “there is some very real hope” this can be accomplished before anyone loses their jobs. He said the operation could be larger than Diageo and bring in even more employees as non-alcoholic beverages could also come out of that plant under a potential new employer.


The alternative site would accommodate roughly half of the potential employer’s needs, he indicated. The site of that building was not revealed.


Keeping the employees is important, he said, as the staff already know what they are doing and have experience in the industry.


Prue noted he is hopeful that if Diageo follows through with the closure that they will sell the plant, but “we can’t make them.”


Diageo has said it will keep its facilities in the Greater Toronto Area, Gimli, Manitoba and Valleyfield, Quebec.


The unionized employees are represented by Unifor Local 200, with president John D’Agnolo indicating the union’s focus is to keep Diageo in Amherstburg. He questioned whether pensions and wages would be the same if a new employer came in.


“It’s not always bright and shiny when a new company comes in,” he said.

Keeping Diageo in town is the priority, he emphasized.


“I’d like to see that plant stay,” said D’Agnolo, of Diageo. “I’d like to keep that company there.”


Losing Diageo would be a big loss, and D’Agnolo said if the company leaves Ontario, “that sends the wrong message.”


D’Agnolo said he regularly meets with company officials but talks currently are around negotiating a closure agreement between the company and the union, something he is hesitant to do due to the desire to keep the company in Amherstburg.


“They want me to negotiate a closure agreement. I say I’m not ready for a closure agreement,” he said.


There is $740 million in annual investment the company has with the LCBO and D’Agnolo said it is the province that can hurt Diageo financially by taking the products off of shelves. If products are removed, the aim is to have Diageo, its board and senior management reconsider the decision to close the Amherstburg bottling plant.


“I’ve been clear to them about taking the products off of the shelves,” he said. “There’s no logic in taking their number one customer and say ‘we’re pulling out of the province.’”


There is much anxiety in the plant currently, he added, and Unifor is doing what it can to save the jobs.


“I will continue to fight to keep those jobs. We’ll do what we can to save them. That’s all we can do,” he said. “If you don’t fight and make the arguments, you’ll never win.”

Buyer interested in Diageo plant

By Ron Giofu

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