NAIROBI, Jan ‌7 : A Kenyan beer distribution firm has filed a case at Kenya’s High Court seeking to block Diageo’s $2.3 billion sale of its local subsidiary EABL to Japan’s Asahi Holdings over pending litigation, a lawyer for the ‌challenger said on Wednesday.

Diageo, the world’s ‌biggest spirits group, said last month it had agreed a deal with the Japanese brewer for a sale of its 65 per cent stake in EABL, as it responds to U.S. tariffs and shifting ‍consumer patterns.

But the deal faces a challenge by Kenyan distributor Bia Tosha, which has asked the court to stop it until its litigation against Diageo and ​EABL, over a ‌competition dispute, is determined and settled.

Kenya’s High Court has certified the case as urgent ​and has set a hearing date for Friday, when it ⁠will give directions, Kenneth ‌Kiplagat, Bia Tosha’s lawyer, told Reuters.

London-listed Diageo ​did not immediately respond to a request for comment. EABL, which is listed on ‍the Nairobi bourse, was not immediately available for comment.

Diageo’s ⁠shares slipped 1.6 per cent, while EABL was 0.5 per cent lower.