Diageo leads FTSE upwards

Drinks giant Diageo led the London market higher today after news that Pernod Ricard’s proposed acquisition of Allied Domecq would allow it to cherry-pick key brands.

The world’s number one spirits company saw its shares advance 2%, up 17.5p to 805p, after last night’s announcement that it may buy most of Allied’s Montana wines if the Pernod bid was successful.