Mallya's stake in United Spirits Limited declines as Kingfisher Airlines’ lenders invoke shares

BANGALORE: Vijay Mallya's shareholding in United Spirits Limited (USL) is on the decline, as lenders to his grounded Kingfisher Airlines are invoking pledged shares given to them earlier.

In a filing to stock exchanges on Wednesday, USL said lender IDBI Trusteeship Services invoked 3.14 million pledged shares held by United Breweries Holdings (UBHL) in USL, now a Diageo-owned company.

"The change in shareholding has occurred due to unilateral invocation of pledged shares by IDBI Trusteeship Services Ltd in its capacity as trustees for the lenders of Kingfisher Airlines Ltd," read the USL filing. Post the invocation, UBHL, an investment arm of Mallya's UB Group, is left with 3.31% stake in USL as against 5.48% stake it held earlier.

Kingfisher Finvest, another investment company of Mallya's UB Group, has seen its shareholding in USL decline from 3.58% to 2.34%, as IDBI Trusteeship Services sold 1.78 million shares.