United Spirits acquires Whyte and Mackay
Kolkata, May 16: United Spirits Limited, the flagship of the UB Group, today announced hundred per cent acquisition of Whyte and Mackay, a leading distiller of Scotch Whisky, for 595 million Pounds.
Whyte and Mackay is a key strategic acquisition for the UB Group which sees significant revenue growth opportunities in it. The Group will provide access to India and other large emerging markets, allowing an acceleration of Whyte and Mackay's growth plans, according to a company release.
UB Group Chairman Vijay Mallya said though United Spirits had a large growing business in India and made recent forays into Russia and China, the only 'missing link' in its portfolio had been Scotch Whisky which was of 'enormous potential' in India.
"We needed a reliable supply source to secure our future considering that we use scotch in our Indian brands. With the acquisition of Whyte and Mackay we now have a strong portfolio of internationally recognised brands that we will immediately introduce into the Indian market," he said.
Whyte and Mackay recorded sales of nine million cases in the last 12 months while United Spirits recorded sales of 66 million cases for the year ended on March 31, 2007. With this acquisition, United Spirits will have consolidated sales of 75 million cases per annum.
With the global demand for Scotch Whisky showing strong growth, Whyte and Mackay's bulk scotch inventories of 115 million litres will allow United Spirits the opportunity to meet their own growing requirements for their brands in India.