Jan 24 (Reuters) - Diageo ( DEO ), the world's top

spirits maker, is exploring a potential spin-off or sale of beer

brand Guinness and is reviewing its stake in LVMH's

drinks unit, Moet Hennessy, Bloomberg News reported on Friday,

citing people familiar with the matter.

The London-listed company could look to deepen its ownership

in the Moet Hennessy venture, or exit altogether, the report

said, adding that if Diageo ( DEO ) wanted to sell the stake, LVMH has

an obligation to buy it, although at a 20% discount to its fair

value, as per their agreement.

Guinness would likely be valued at above $10 billion,

Bloomberg reported, citing the sources.

Diageo ( DEO ) did not immediately respond to a request for

comment; LVMH declined to comment.

(Reporting by Aby Jose Koilparambil and Yadarisa Shabong in

Bengaluru; Editing by Anil D'Silva)