Pernod, Fortune team to buy, break up Allied Domecq

The French and U.S. firms have agreed to spend roughly $14 billion for Allied Domecq, the U.K.-based owner of brands such as Kahlua, Mumm Champagnes, Beefeater and Dunkin' Donuts. The two companies are expect to divide up the beverage brands between them, but sell off Allied's Dunkin' Donuts, Baskin-Robbins and Togo's chains to help finance the purchase. Specific terms of the deal are expected to be announced today.

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