Mallya close in on Whyte

London, Oct 14 (UNI) Speculation was rife over Vijay Mallya's planned bid to acquire Scotland's 600-million pound whisky distiller Whyte&Mackay, after a visit of liquor baron, his first, to Scotland, sources towards the deal said.

Mr Mallya, who owns drinks-to-airline conglomerate UB, was scheduled to meet Whyte&Mackay's Chairman and majority shareholder Vivian Imerman at the distiller's central Scotland bottling plant in Grangemouth for wide-ranging talks.

The sources said Mallya had come to Scotland for the first time and his visit to the bottling plant increased speculation that a deal was close.

Mr Imerman said Mallya had spent the last three days in Scotland.

''You cannot miss his jet, I can't deny it.'' He said that Mallya and other potential bidders have been conducting due diligence on the company, which also owns Vladivar Vodka and Jura malt whisky.

Imerman said, ''We have a lot of options and are reviewing all of them.'' Mallya, keen to get his hands on an authentic Scotch whisky brand, got involved in a battle with the Scotch Whisky Association, which blocked his plans to sell what it insinuated cheap Indian whisky in Europe. It said his ''whiskies'' are distilled from molasses rather than malt and are not whiskies at all.

The major attraction of Whyte&Mackay is its stock of aged whisky, worth 350 million pounds. Aged malt whisky has exploded in popularity in India among the burgeoning middle classes.

The company believes it is worth at least 600 million pounds in total.

Imerman said, ''As people get closer to the company, they see the benefits that can derive from a strategic alliance, or a part purchase or a full purchase of the group.'' Any deal to sell Whyte&Mackay for 600 million pounds would mean a significant return for Imerman and his brother-in-law Robert Tchenguiz, the inveterate deal maker. They led a group of investors who bought the spirits business in 2001 for 208 million pounds.

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