UK/INDIA: Still more to do on United Spirits deal - Diageo
By Andy Morton | 1 March 2013
 |
Diageo is still waiting on SEBI clearance |
Diageo has confirmed that India's competition watchdog has okayed its planned purchase of a stake in United Spirits, but warned that further approval is still needed.
Yesterday (28 February), the Competition Commission of India (CCI) said on its website that it has cleared Diageo's INR111.7bn (US$2.05bn) buy of a majority share in United Spirits. However, Diageo told just-drinks today that it is still waiting for clearance from the Securities and Exchange Board of India (SEBI).
A spokesperson said: “I can confirm that Diageo has received CCI approval. SEBI clearance has not been received; we have received SEBI's letter of observations and are responding to it.”
Last month, SEBI confirmed on its website that it had sent Diageo a "letter of observation", but its comments on the deal are not public.
Diageo also requires approval from India's central bank, the Reserve Bank of India, before it can launch the tender offer. The spokesperson said: “We intend to launch the mandatory tender offer within 12 working days of the receipt of all applicable statutory approvals.”
Diageo announced its long-expected play for a stake in United Spirits in November.
Expert analysis
Diageo plc - SWOT, Strategy and Corporate Finance Report
Diageo plc - SWOT, Strategy and Corporate Finance Report, is a source of comprehensive company data and information. The report covers the company’s structure, operation, SWOT analysis, product and service offerings, detailed financials, and corporate actions, providing a 360° view of the company.
Sectors: Emerging markets – BRIC, Mergers & acquisitions, Spirits
Companies: Diageo, United Spirits
View next/previous articles
1 Mar 2013 -
Currently reading -
UK/INDIA: Still more to do on United Spirits deal - Diageo
1 Mar 2013 -
Related research
Diageo plc - SWOT, Strategy and Corporate Finance Report
Diageo plc - SWOT, Strategy and Corporate Finance Report, is a source of comprehensive company data and information. The report covers the company’s structure, operation, SWOT analysis, product and service offerings, detailed financials, and corporat...
Diageo plc - Mergers & Acquisitions (M&A), Partnerships & Alliances and Investment Report
Datamonitor's Company Mergers & Acquisitions (M&A), Partnerships & Alliances and Investments reports offer a comprehensive breakdown of the organic and inorganic growth activity undertaken by an organization to sustain its competitive advantage....
Diageo plc: Consumer Packaged Goods Company Profile, SWOT & Financial Report
Canadean's "Diageo plc: Consumer Packaged Goods - Company Profile & SWOT Report" contains in depth information and data about the company and its operations. The profile contains a company overview, key facts,major products and services, swot analysi...
Related articles
just For Subscribers - The week in drinks
Here are the ten most viewed, subscriber-only items on just-drinks this week:
There are currently no comments on this article
Be the first to comment on this article