Diageo to launch open offer for stake in United Spirits

Diageo to launch open offer for stake in United SpiritsDiageo Plc, a UK based beverages major, has said that it will launch an open offer to acquire an additional 26 per cent stake in Indian firm United Spirits from 10 April, 2013.

The company has said that the open offer will close on 26 April, 2013. United Spirits wrote in a filing with the Bombay Stock Exchange (BSE) that JM Financial Institutional Securities Pvt Ltd, which is the manager of the offer, has informed that stock exchange that the offer price will remain at Rs 1,440 per equity share.

"The manager to the open offer has informed that the acquirer has received all applicable statutory approvals. The Tendering Period shall commence on April 10, 2013 and shall close on April 26, 2013," the company said in the filing with the stock exchange.

Diageo will pay the offer price along with the interest computed at the rate of 10 per cent per annum on the offer price from March 19, 2013 till the payment date for all the public shareholders selling their shares in the open offer. Diageo faced in a delay in getting Competition Commission of India approval for the deal and SEBI has asked the company to pay interest to the shareholders for the duration of the delay.