Mallya plans for 10% preferential allotment to Diageo

India Infoline News Service | Mumbai | May 21, 2013 09:27 IST

According to reports, preferential allotment of 10% will happen before May 26, for which Diageo will be paying Rs 20.94bn.

Vijay Mallya is planning to make a 10% preferential allotment in his flagship company, United Spirits (USL), to the former, says media reports.

According to reports,  preferential allotment of 10% will happen before May 26, for which Diageo will be paying Rs 20.94bn.

Diageo’s move to acquire a further 17.4% stake for Rs 3,632 crore will depend on what the judge at the Karnataka high court (HC) will decide, after hearing winding-up petitions on UB Holdings, report said.

As part of the agreement between Diageo and Mallya in early November 2012, the former was to get 12.8% stake from UBH’s holdings in USL.

BSE 2,595.10 124.40 (5.04%)
NSE 2,595.75 106.30 (4.27%)

***Note: This is a NSE Chart