US/INDIA: United Spirits, Bacardi dismiss stake purchase talk
United Spirits and Bacardi have both denied press speculation that they are in talks over Bacardi buying a stake in the Indian spirits company.
A report out of India earlier this week claimed that Bacardi "could be in the reckoning" if United Spirits were to proceed with a private placement of a minority stake in the company.
The report, in the Economic Times, cited Bacardi's CEO, Andreas Gembler, as saying: "We have been 'very slow' in growth markets like India, but that is changing now. The Bacardi family and myself as chief executive are committed to it." Gembler also "indicated" that Bacardi would be interested in United Spirits' potential private placement of treasury stocks with a strategic partner. "I will not exclude that," Gembler was cited as saying. "Mr (Vijay) Mallya [owner of United Spirits] is a respectable competitor who knows what he is doing."
The report, however, went on to cite Bacardi's regional president for Asia Pacific, Harold Dyrvik, as saying that "nothing is at work with United Spirits at present".
Speaking to just-drinks yesterday (8 April), a spokesperson for Bacardi said: "Mr. Gembler's comments were misinterpreted to imply that discussions are currently underway. There are no discussions, but as you know Bacardi continuously looks for good opportunities to grow its business."
United Spirits also confirmed that the report was unfounded. In a filing to the Bombay Stock Exchange yesterday, the firm said: "The company is not in conversation with anyone in this regard. The published news item is purely speculative."
Last year, United Spirits, which is the spirits unit of United Brewery Group, acquired Scotch whisky firm Whyte & Mackay for US$1.18bn after a protracted negotiation period.
Diageo appears to be making light of the economic downturn, turning in highly respectable year-end figures late last month, but some brands performed better than others. In the second part of this spe...
Vodka is the drink of the moment in the Dominican Republic, growing 50% in 2007 according to recent research from the IWSR....
In its elegant decanter, Patrón is a symbol of the maturing Tequila market. Its traditional 'shooter and slammer' image is long gone and in its place is a much more sophisticated drink now sipped by s...
A 100-year-old bottle of Scotch whisky, discovered in a cupboard in the US and considered one of the rarest in the world, is going up for auction next month....
Diageo has removed the "Special" from its Crown Royal Special Reserve brand, but claims it has not altered the Canadian whisky's composition....
Berry Bros. & Rudd has lined up the latest addition to its Blue Hanger blended Scotch portfolio....
The Glenmorangie Company has lined up the sale of its Glen Moray distillery in Scotland to French spirits company La Martiniquaise....
Pernod Ricard has consolidated its distribution footprint in Israel....
- Winners & losers of AB InBev's SABMiller takeover
- Can Bacardi take its rum back to the party?
- ABInBev on the verge of SABMiller buy? - Comment
- How big is MegaBrew? ABI/SAB market share, brands
- What Trans-Pacific Partnership means for drinks
- Anheuser-Busch InBev wins SABMiller's hand
- A-B InBev raises SABMiller offer to GBP70.5bn
- Carlsberg UK chief James Lousada quits
- Beam Suntory CMO to stand down
- Ketel One co-owner now Bols' largest shareholder
- The IWSR Duty Free/Travel Retail Summary Report 2015
- Future growth opportunities for global spirits
- Global gin insights - market data, product innovation and consumer trends research
- Anheuser-Busch InBev SA/NV - Strategy and SWOT Report