United Breweries to merge Millennium Alcobev with itself

Vijay Mallya-promoted United Breweries today said in a filing to the Bombay Stock Exchange that it would merge its group firm Millennium Alcobev and its subsidiaries with itself. The company's board of directors has approved the merger.

According to the company, this is the first step in the creation of a fully-integrated brewing entity.

"The combined entity will create significant value for all the shareholders and will help in optimising revenue, cost and capital synergies," UB Group Chairman Vijay Mallya said.

Millennium Alcobev, a joint venture between UBL and Heineken, has three operating companies with breweries located in Haryana, Maharashtra, Andhra Pradesh and Tamil Nadu. These have an annual capacity of 33 million cases.

Last year, Heineken and UB Group had announced the mergers of Millennium Alcobev with the India major following an agreement to jointly do business in the country.

USL to buy 54.69% in PDL
United Breweries Group’s flagship company United Spirits said it had inked a deal to acquire a 54.69 per cent stake in Pioneer Distilleries Ltd (PDL) for '73.95 crore.

The company has entered into a share purchase agreement with the promoters of alcohol manufacturer PDL to buy 7.322 million shares, representing a 54.69 per cent stake in the company, United Spirits said in a filing to the Bombay Stock Exchange.