UBHL QIP oversubscribed 2.6 times

Bangalore, Dec 7 : United Breweries (Holdings) Limited (UBHL), the holding company of the US Dollar ten billion Vijay Mallya Group, has successfully priced its issue of equity shares under the Qualified Institutional Placement (QIP) at Rs 1,110 for an equity share of Rs ten each.

The company, in a release here, said the QIP offering of Rs 600 crore, which opened on December four, was oversubscribed 2.6 times. The pricing of the QIP was based on the average price of the company in the past 15 trading days. CLSA India Limited acted as the Sole Global Coordinator and Book Running Lead Manager for this offering. Ambit acted as the Co-Book Running Lead Manager.

UBHL would issue 5,405,405 equity shares of Rs ten each through this offering. Applications would be made to list the equity shares on the Bombay and Bangalore Stock Exchanges.

Commenting on the offering, Mr Ravi Nedungadi, President and Chief Financial Officer of the UB Group, said ''We are extremely pleased that large institutional investors have appreciated our inherent strengths and reposed faith in our Company.

As a result of this, they have decided to invest in the Company close to the market price for the shares. The funds raised from the QIP issue will be used to meet UBHL's funding requirements, including but not limited to paying portions of existing debt and making additional investments for our existing businesses directly or through the investee companies.''

UNI