15th Apr 2014 05:35
LONDON (Alliance News) - Drinks giant Diageo PLC. Tuesday said it would launch an offer to buy up to 26% more of India's United Spirits Ltd in a deal estimated to be valued at about USD1.9 billion.
Diageo said in a regulatory filing that it plans to buy 37.79 million shares, or 26% of the company's share capital, at a price of 3,030 rupee per share.
Diageo currently has a 28.78% stake in United Spirits. If the current offer is successful, its holding will increase to 54.78%.
United Spirits surged 11.3% on the news and is currently trading at 2845.75 rupee.
Diageo rose 2.8% on the LSE on Monday to settle at 1,925.17 pence.
Copyright RTT News/dpa-AFX
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