USL enters into a Share Purchase Agreement for the Sale of Equity Shares in Four Seasons Wines Limited

Deepthi | Myequity news | Date : 15-01-2019 10:20:00 IST

United Spirits Limited (USL), India's leading beverage alcohol company and a subsidiary of global leader Diageo plc, today has executed a share purchase agreement for the sale of its entire equity share capital in its wholly owned subsidiary Four Seasons Wines limited ("FSWL") as well as associated brands to Grover Zampa Vineyards Limited and Quintela Assets Limited. As a result, FSWL will cease to be a subsidiary of USL.

Explaining the rationale, Sanjeev Churiwala, Executive Director & Chief Financial Officer, Diageo India said, "This deal brings us a step closer to the structural rationalisation and simplification of our India business. The FSWL wine business is a niche but a small part of the overall Diageo India portfolio and the sale will enable us to focus on our premiumisation strategy and grow our core Spirits business in India."

This move towards disinvestment of FSWL is in line with USL's strategy to successfully continue to monetise its non-core assets, including subsidiaries.

About Diageo

Diageo India is the country's leading beverage alcohol company and a subsidiary of global leader Diageo plc. The company manufactures, sells and distributes an outstanding portfolio of premium brands such as Johnnie Walker, Black Dog, Black & White, VAT 69, Antiquity, Signature, Royal Challenge, McDowell's No.1, Smirnoff, Captain Morgan and Four Seasons.

More from Myequity