UB group stocks surge upto 20% on Diageo stake buy talks

MUMBAI: Shares of UB group firms, led by UBHL ( United Breweries Holdings Ltd), today surged as much as 20 per cent after United Spirits said UK-based Diageo Plc is in talks to buy stake in the Vijay Mallya owned firm.

Group holding firm UBHL scrip settled for the day at Rs 132.45, up 19.97 per cent, while United Spirits soared 8.89 per cent to close at Rs 1,147.70 on the BSE.

Among others, shares of McDowell Holdings climbed 9.95 per cent, United Breweries scrip rose by 7.02 per cent and Mangalore Chemicals & Fertilizers (12.34 per cent).

Besides, Kingfisher Airlines surged 8.08 per cent and UB Engineering shot-up by 15.70 per cent.

"United Spirits and Diageo Plc confirm that the UK-based company is in discussion with it and United Breweries Holdings in respect of possible transactions to acquire an interest in the liquor firm," United Spirits said in a BSE filing.

It added, "However, there is no certainty that these discussions will lead to a transaction".

The company is also holding its 13th Annual General Meeting (AGM) today.

The UB group is the promoter of USL with a 28 per cent stake.