In a bid to rescue beleaguered Kingfisher Airlines, United Breweries’ (UB) Group Chairman Vijay Mallya is likely to offload 49 per cent stake in the flagship brand Whyte & Mackay (W&M) to private equity players. The prominent players which are reported to be in a race to acquire the stake includes Silver Lake, Carlyle and LDC, which is the PE arm of Lloyds Bank, as mentioned in a media report. Further, this move to unlock value in the flagship subsidiary comes amidst speculation of UK-based liquor company Diageo expecting to acquire close to 27% stake in Mallya's United Spirits (USL) for around Rs 3,000 crore.
UB, in 2007, acquired 100% stake in Premium Scotch Distillers Whyte & Mackay for GBP 595 million. Whyte & Mackay is a leading distiller of Scotch whisky, owning brands including The Dalmore, Isle of Jura, Glayva, Fettercairn, Vladivar vodka and the eponymous Whyte & Mackay blended Scotch.
In order to save Kingfisher Airlines, Mallya will have to bid adieu to almost all the other businesses, as selling a substantial stake alone in USL, would not fetch substantial amount to pay off Kingfisher’s debt to the worth of over staggering Rs 7,000 debt.
Company Name | CMP |
---|---|
United Spirits | 1270.50 |
United Breweries | 2105.55 |
Radico Khaitan | 1718.75 |
Globus Spirits | 797.00 |
GM Breweries | 636.15 |
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