United Spirits gains after Diageo raises stake

Reuters Market Eye - United Spirits Ltd shares rise 3.7 percent after Relay B.V., an indirect wholly owned subsidiary of Diageo Plc , increased its stake in the company to 28.77 percent from 26.37 percent on Friday, exchange data showed.

Relay B.V. bought 3.5 million shares on the Bombay Stock Exchange, whereas Oppenheimer Funds Inc sold 3.64 million shares via block deals on Friday, BSE data shows.

Diageo completed its takeover of United Spirits in July, almost eight months after the companies announced the deal because of legal and regulatory difficulties.

In December, a regional Indian court ordered the annulment of the sale of United Spirits to Diageo, dealing another blow to a transaction beset by complications, though Diageo said it would appeal the decision.

 

(Reporting by Dipika Lalwani)