DIAGEO is set to announce the acquisition of Turkish spirits firm Mey Içki Sanayi ve Ticaret for a staggering $2.5bn (£1.54bn).
Diageo could finalise the deal as soon as this morning, according to the Wall Street Journal.
Mey, owned by US firm TPG, is among the largest alcohol producers in Turkey and controls 80 per cent of the market for Turkish national drink raki. Diageo is being advised by UBS. TPG is being advised by JP Morgan and Goldman Sachs.
TPG had previously considered an initial public offering for the firm.
Diageo last month admitted European sales are weakening and that it is pinning its growth hopes on drinkers in emerging markets such as Turkey.