Bacardi may buy a piece of Mallya's United Spirits

07 Apr 2008

Mumbai: Global spirits major Bacardi could pick up a small piece of Vijay Mallya`s United Spirits (USL). The move will allow Bacardi to pursue acquisition opportunities in India, according to an Economic Times report.

The report quoted Bacardi CEO Andreas Gembler as saying that the privately – held company, and the Bacardi family are committed to India, though it has been very slow in the market thus far.

The company is reported to be looking a the acquisitions route to grow its business in India, with the two preconditions of profitability and established distribution.

Earlier in the year, there had been some uninvited interest from prospective buyers for a stake in USL, with the UK based maker of Johnnie Walker Diageo showing its interest in January. Reports indicate that USL could liquidate treasury stocks amounting to around a 10 – 12 per cent stake, at a rumoured price of Rs2,500 to Rs3,000 a share, a significant premium to the traded levels of Rs1,616 on Monday.