NEW DELHI Nov 20 Diageo Plc will launch
a mandatory share tender offer to buy up to 26 percent
additional stake in India's United Spirits Ltd from
public shareholders on Jan. 7, the manager to the offer said in
a notice to the Bombay Stock Exchange.
Earlier this month, Diageo agreed to buy a majority stake in
United Spirits, controlled by Indian businessman Vijay Mallya,
for $2.1 billion, fuelling a push by the world's biggest spirits
group into fast-growing markets.
The tender offer, which is part of the two-tranche deal that
will give Diageo a 53.4 percent stake in India's largest spirits
company, will close on Jan. 18, JM Financial said in a notice to
the exchange on Tuesday.
Shares in United Spirits ended up 0.6 percent at 1,762
rupees, higher than Diageo's offer of 1,440 rupees a share to
minority shareholders. The sharp jump in the stock has clouded
the outcome of the tendering process, analysts said.
United Spirits shares have risen more than 30 percent since
the announcement of the deal on Nov. 9.