Diageo wants full control of Pioneer

Diageo wants full control of Pioneer

Diageo has confirmed that its bid to take full control of United Spirits subsidiary Pioneer Distilleries has been cleared by India's financial regulator.

Last month, the UK-headquartered group and United Spirits said they would make an open offer for INR157.9m (US$2.65m) worth of Pioneer's shares. The tender period will start on 28 August and end on 11 September. 

“Diageo can confirm that the MTO document has been through the standard SEBI (Securities and Exchange Board of India) review and clearance process," a company spokesperson told just-drinks yesterday (20 August).

The move follows Diageo last month becoming the biggest shareholder in United Spirits, upping its stake to 25.02%. This week, the group's former CEO Paul Walsh was appointed a non-executive director on the United Spirits board.