Diageo Plc has received market regulator Sebi’s clearance for an open offer to acquire additional 26 per cent stake in United Spirits ltd for Rs 11,448.91 crore.
This is the second open offer made by Diageo to gain majority control in India’s number one liquor firm.
As part of the deal to buy 53.4 per cent stake in Vijay Mallya-led UB group’s USl, Diageo has made a Rs 11,448.91 crore open offer for purchase of 26 per cent stake in the company from non-promoter shareholders.
The open offer, which was made last month, has been now cleared by the Securities and Exchange Board of India, according to a public notification. Sebi issued final observations, necessary for the offer and the deal as a whole to go through, on May 21.
The global liquor giant would pay Rs 3,030 per share of USl, which is more than double the price of Rs 1,440 per share it offered in the previous bid last year.
The offer for 3,77,85,214 USl shares, being made through Relay BV, a wholly owned indirect subsidiary of Diageo, is another attempt by the company to increase its stake beyond 50 per cent in the flagship firm of the UB Group.