Free Press Journal

Kingfisher Air lenders look to sell United Spirits shr; invoke lien

FOLLOW US:

Mumbai: Lenders of Kingfisher Airlines Ltd have invoked pledge on 3.15 mln United Spirits Ltd shares offered as collateral by the promoters, according to a regulatory filing by United Spirits.

Kingfisher Airlines and United Spirits have common promoters in Vijay Mallya and United Breweries Holdings.

The invocation of the pledge suggests that the lenders might tender these shares in the ongoing open offer for United Spirits. This could not, however, be independently confirmed.


Diageo Plc and associate Relay B.V. have made an open offer to acquire up to 37.78 mln United Spirits shares at 3,030 rupees per share. The open offer ends on Thursday.

Diageo and Relay are seeking to increase their stake in United Spirits to 54.78% from 28.78% via the open offer.

United Spirits said lenders had invoked a pledge on shares held by Vijay Mallya, United Breweries Holdings Ltd, Relay B.V., Kingfisher Finvest India Ltd, Mallya Pvt Ltd, Devi Investments Pvt Ltd, Vittal Investments Pvt Ltd and Rossi & Associates Pvt Ltd.

Separately, Kingfisher Airlines’ lenders had earlier this week invoked lien on United Breweries Holdings’ 7.31% stake in the airline company.

Today, shares of United Spirits ended 2.01% higher at 2802.40 rupees on the National Stock Exchange.