United Spirits has secured a stake purchase in Indian bulk spirits manufacturer Sovereign Distilleries.
The firm, which is part of India’s UB Group drinks giant, confirmed yesterday (4 April) that it has bought 41.54% of the spirits producer, which is based in the southern state of Karnataka. Financial details behind the transaction were not disclosed.
Reports out of the country earlier this year linked United Spirits with a full takeover of Sovereign for a reported INR2.3bn (US$50.7m). The company said at the time that it is keen to increase its supply base for Extra Neutral Alcohol (ENA).
“Increasing self reliance in ENA, which is the core raw material for our business, is our highest priority,” UB Group’s chairman, Vijay Mallaya, was quoted as saying in local press this week.
In January, United Spirits lined up the full purchase of Pioneer Distilleries, which has a distillery near Nanded in Maharashtra, east of Mumbai.
See Also:
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalData