United Spirits shares gain for 2nd day on Sebi nod to Diageo open offer

Shares of United Spirits are trading in green for the second day on Wednesday after the Securities and Exchange Board of India (Sebi) cleared global liquor major Diageo Plc's open offer to acquire stake in the UB group firm.

United Spirits' scrip was trading 0.54 per cent higher in afternoon trade on the Bombay Stock Exchange at Rs 1,905.20. On the National Stock Exchange, it was up 0.78 per cent at Rs 1,909.45.

Shares of United Spirits had on Tuesday moved up 4 per cent to Rs 1,929.90 on BSE and 3.86 per cent to Rs 1,929.95 on NSE.

As part of the deal for purchase of 53.4 per cent stake in Vijay Mallya-led UB group's United Spirits Ltd, Diageo has made a Rs 5,441 crore open offer for purchase of 26 per cent stake in the company from non-promoter shareholders.

The open offer, which was made about three months ago soon after the deal announcement on November 9, was cleared by Sebi after numerous clarifications sought by the regulator and the subsequent representations made to it in this regard.

The deal is still awaiting a green signal from fair trade regulator, the Competition Commission of India, although the concerned parties (Diageo and UB group firms) have submitted certain clarifications sought from them.

With inputs from PTI