United Breweries (Holdings) Limited
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BSE Code:
507458
NSE Code:
UBHOLDINGS
Business Profile
Business Profile
United Breweries (Holdings) Ltd (UBHL), headed by Dr. Vijay Mallya, is the result of demerger of brewing business from the erstwhile United Breweries Ltd to a separate company, United Breweries Limited (UBL). The demerger left the company with investments in the group companies and real estate business. The company`s principle activities are to develop, market and export alcoholic beverages, leather footwear, pharmaceutical products, agrochemicals and processed foods. In addition, the group provides engineering colleges, air transportation, agrochemicals etc. through its subsidiaries.
In December 2004, the company merged ten subsidiary companies with itself. UBL, to which the demerged brewing business is vested with, commands a market share of 48%. UB Engineering Limited specializes in the erection and installation of industrial plants. It is focused on the turnkey division for projects in power, oil & gas, and other sectors from concept to installation and maintenance. UB
Global Corporation Limited operates as the exports division of UBHL. It exports beer, spirits, leather footwear, processed foods, pharmaceutical products and customized perfumeries to Europe, Asia, America, Africa and Australia. UBHL also has significant stake in the associate companies like McDowell & Company (42% stake), Herbertsons Ltd, Aventis Pharma Ltd and Mangalore Chemicals & Fertilizers Ltd. Kingfisher Airlines Limited, a wholly owned subsidiary of UBHL started operations in May 2005. It has a fleet of 11 Airbus operating to all metros and other major cities across India.
UBHL plans to raise about USD 400 million in the next one year by diluting his holding in Kingfisher Airlines and United Spirits. Kingfisher Airlines will float an initial public offer of USD 200 million, while United Spirits will raise the same amount through either a private placement of equity or an issue of bonds. UBHL is also planning to form 2 new subsidiaries, one, for providing technical training for pilots, engineers, technicians and the crew and other incidental/allied services. Another subsidiary will be predominantly engaged in supply of goods and services to the aviation sector.
Recent Developments
27-SEP-07
Vijay Mallya, chairman, United Breweries (Holdings), has bought a 50% strategic stake in the US based aircraft company, Epic Aircraft for USD 120 million (about Rs 4.80 billion). Epic Aircraft, a unit of Aircraft Investor Resources, manufactures private business jets with single and twin engines, capable of carrying six to seven people. It entered the very light jet (VLJ) segment recently and now offers high-end business jets. Mallya has invested in Epic in his personal capacity.