Diageo gets SEBI’s nod for open offer to acquire 26% stake in United Spirits

Securities and Exchange Board of India (SEBI) has given nod to Global liquor giant Diageo Plc for its open offer to acquire additional 26 per cent stake in United Spirits (USL) for Rs 11,448.91 crore. SEBI issued final observations, necessary for the offer and the deal as a whole to go through, on May 21. 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 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. United Spirits is the largest spirits company in India and a flagship entity of $2 billion UB group. It manufactures wide range of whisky, vodka, rum and other spirits.