Key Developments: Diageo PLC (DGE.L)
2,028.00GBp
17 May 2013
-22.50p (-1.10%)
2,050.50p
2,043.50p
2,047.01p
2,013.50p
4,272,634
4,266,726
2,115.00p
1,475.00p
Latest Key Developments (Source: Significant Developments)
Diageo PLC Announces Appointment of Mr. Ivan Menezes as CEO from July 1, 2013
Diageo plc announced that Mr. Ivan Menezes will be appointed Chief Executive of Diageo with effect from July 1, 2013. Mr. Paul Walsh, who will step down from the Board at the September 2013 Annual General Meeting, will retire from the Company on June 30, 2014. Full Article
SREI Infrastructure Finance Ltd To Sell United Spirits Ltd Shares To Diageo PLC-Business Standard
Business Standard reported that SREI Infrastructure Finance Ltd plans to sell shares of United Spirits Ltd it got as collateral for lending to Kingfisher Airlines to Diageo PLC. Diageo on November 9, 2012 said it will buy a controlling stake in United Spirits for $2.04 billion. The maker of Johnny Walker whiskey said it will acquire 27.4% of the distiller at INR1,440 a share and will make a tender offer for 26% of the balance. Full Article
India Markets Regulator Issues Final Observations on Diageo PLC's Offer For United Spirits Ltd-DJ
Dow Jones reported that India's capital markets regulator has issued its final observations on Diageo PLC's proposed open offer for a 26% stake in United Spirits Ltd. The Securities and Exchange Board of India (SEBI) has issued the observations, but didn't give any details. The open offer was part of Diageo's proposal in November to buy up to a 53.4% stake in United Spirits for up to $2 billion. The deal included purchasing a 27.4% stake from United Breweries Holdings and other founder firms of United Spirits. The draft of the open offer, which is required under local merger and acquisition rules, was submitted to SEBI in November. Full Article
Diageo PLC Set To Take Charge At United Spirits Ltd-Economic Times
Economic Times reported that Diageo PLC has readied plans to take charge at United Spirits Ltd (USL), where it is buying a more than $2 billion stake in multiple stages. Full Article
Diageo PLC Recommends Dividend-News Bites
News Bites reported that Diageo PLC announced an interim dividend of GBX18.10 per share. The ex dividend date is February 27, 2013 and it is payable on April 08, 2013. Full Article
Diageo plc Updates on Agreement to Form a 50:50 Joint Venture in Respect of United National Breweries' Traditional Sorghum Beer Business in South Africa
Diageo plc announced that it entered into a memorandum of understanding on November 9, 2012 with Dr Mallya under which they would form a 50:50 joint venture, which would own United National Breweries' traditional sorghum beer business in South Africa. Further to this announcement, Diageo plc announced that it has entered into an agreement to acquire a 50% interest in the company which owns United National Breweries' traditional sorghum beer business in South Africa. The remaining 50% will be held by a company affiliated to Dr Mallya. Diageo plc will acquire its 50% interest for USD 36 million (approximately GBP 23 million), subject to customary adjustments. The transaction is conditional on (among other things) consent from the South African competition authority and is expected to complete in the first half of this year. Full Article
Diageo plc's Open Offer For United Spirits Ltd Shares Delayed-Economic Times
The Economic Times reported that Diageo plc's mandatory share tender offer to buy up to 26% additional stake in India's United Spirits Ltd has been postponed as the companies are yet to receive Indian regulatory approvals. Diageo in November agreed to buy a majority stake in United Spirits LtdBSE -1.94 % for $2.1 billion. The tender offer, which is part of a two-tranche deal that will give Diageo a 53.4% stake in India's spirits company, was set to start on Monday and close on January 18. Full Article
United Breweries Holdings Ltd, Diageo Plc and United Spirits Limited Announce Agreement Under With Diageo Plc Will Acquire United Spirits Limited
United Breweries Holdings Ltd, Diageo Plc and United Spirits Limited announced agreement under which Diageo Plc would acquire 27.4% stake in USL, the spirits company in India. The consideration will be INR1440 per share and the total consideration would be INR57,254 million (approximately GBP660 million). Following completion of these agreements, Dr Vijay Mallya will continue in his current role as Chairman of USL, and UBHL and Dr Mallya will work with Diageo to build the USL business as the current consumer trends for premiumisation accelerate in India. The agreements are in two parts: An agreement to acquire a 19.3% interest in the current share capital of USL at a price of INR1440 per share from the UBHL group, the USL Benefit Trust, Palmer Investment Group Limited and UB Sports Management (two subsidiaries of USL) and SWEW Benefit Company (a company established for the benefit of certain USL employees). Following this disposal, the UBHL group would continue to have a shareholding in USL amounting to 14.9% of current share capital. The shareholders of USL will be asked to approve the preferential allotment to Diageo at a price of INR 1440 per share of new shares amounting to 10% of the post-issue enlarged share capital of USL. On completion of the share purchases as described above and in the event that the tender offer were fully subscribed, Diageo will hold 53.4% of the enlarged USL share capital at an aggregate cost of INR111,665 million (approximately £1,285 million). Full Article
United Spirits Ltd To Sell Stake In Pioneer Distilleries To Diageo plc-Business Standard
Business Standard reported that United Spirits Ltd, which is in talks to sell a stake to UK giant Diageo Plc , said that it will sell 935,982 shares in Pioneer Distillers, a stake that on October 19, 2012, price would be worth INR45.49 million. Both companies are controlled by Vijay Mallya, to try to raise funds for his embattled Kingfisher Airlines , which has been grounded since the start of the month. Full Article
Diageo plc Likely To Buy 25% Stake In United Spirits Ltd-The Economic Times
The Economic Times reported that Diageo plc is close to acquiring 25% stake in Vijay Mallya-controlled United Spirits. A formal announcement of the deal is likely to happen in two days. Diageo will have to make an open offer to acquire a controlling 51% stake in USL. The deal is likely to be struck at a price of INR1,300-1,500 per share. As per the terms of the transaction, Mallya will sell 12% to Diageo and follow it up by buying the treasury stock of the company owned by a trust. USL will then make a preferential allotment to Diageo, giving the British giant a 25% stake. This will be followed by an open offer to minority shareholders. Mallya will hold around 15% in the company, post deal. In a rare joint statement on September 26, Diageo and United Spirits said that Diageo is in talks with USL and UB Holdings for a possible investment in USL. People close to the development said that legal firms — Amarchand & Mangaldas for USL and Platinum Partners for Diageo —are drafting the documents. Full Article
UPDATE 3-Diageo names Menezes CEO with eye on emerging markets
LONDON, May 7 - Diageo named Ivan Menezes as chief executive on Tuesday, turning to an Indian-born company insider whose role in the British drinks firm's push into emerging markets points to where it sees its future.
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