Diageo buys USL shares worth Rs 866 cr; ups stake to 29 pc
Jan 31 2014 , Mumbai
On the other hand, foreign fund house Oppenheimer Funds, an existing shareholder, sold 36.42 lakh shares (representing 2.5 per cent stake) of United Spirits in the open market for Rs 901.13 crore through bulk deals.
The shares have been acquired by Diageo through its group entity Relay BV, which today purchased 35 lakh United Spirits shares, amounting to 2.40 per cent holding in the company.
At the end of last month, Relay BV held 26.37 per cent stake in United Spirits, which has now risen to nearly 29 per cent.
The shares were acquired today at an average price of Rs 2,474.45 apiece, valuing the transaction at Rs 866.06 crore.
Diageo had announced in 2012 that it intends to pick up to 53.4 per cent stake in United Spirits in a multi-structured deal for a total of Rs 11,166.5 crore. However, it could pick only 25.02 per cent stake for a total consideration of Rs 5,235.85 crore due to tepid response to its open offer.
United Spirits shares rose 1.39 per cent to end the day at Rs 2,474.45 apiece on the BSE.