Corporate

UB mulls to raise $300-350 mn to reduce debt burden

United Spirits, the world"s third-largest spirits maker by volume, today said it plans to raise around $300-350 million to reduce its debt burden which it mobilised to buy out the world"s largest scotch producer, Whyte and Mackay. - Centre decides to withdraw case against Quattrocchi - Interest rates unlikely to rise in FY10: Bankers - Wanted: Credit for weavers - In memoriam? - L&T can build 3,000-4,000 MW n-power plants per year: CMD - No new place of worship at public places: SC Speaking on the sidelines of the 10th annual general meeting today UB Group Chairman Vijay Mallya said, "I have the option to sell 8.38 million treasury shares or do a QIP or look at private equity or a combination of all." The fund raising process, he said, would happen as quickly as possible. Out of the $625 million debt, the company said it had paid off $300 million, through sale of treasury stock and internal accruals. On the company"s growth, he said it planned to set up four large multi-substrate distilleries which could use either molasses feed stock or grain feed stock. This would help in maintaining a constant input cost, irrespective of the prices of molasses going up or down. Commenting on the ongoing talks between the two beer manufacturers, he said, "a partnership between Heineken and UB in India in my view is a monumental event in the beer market". According to UB group"s CFO Ravi Nedungadi, USL is also exploring the option of pre-paying the remaining $325 million debt, which would help in cutting down on interest cost.

Same day loan commented:

If they are able to do so then it is really gud for the whole country as this will improve their situation

29.08.2011

Payday Loans commented:

UB is taking concrete steps to reduce its debt burden through lifting money

01.10.2011

Flexcredit commented:

Hoping such plan will soon come into effect as it can help in improving economical condition of the nation.Thanks for such informative post.

12.10.2011

car rental Singapore commented:

Such plan can really contribute in a good economy recovery.Thanks for such post.

02.11.2011

Multi Family Offices commented:

They surely need the money to payoff their burden after buying another firm.They are planning to get the money from the market.

05.12.2011


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