Vijay Mallya may sell RCB stake to escape debt trap

July 10, 2012

vijay-mallya

Bangalore, July 10: After the financial turbulence at Kingfisher Airlines, Chairman Vijay Mallya's United Spirits is looking at reducing its debt and bringing back the good times. It may even sell its stake in its Indian Premier League (IPL) team Royal Challenges Bangalore (RCB).


Vijay Mallya's acquisition of the brand White & Mackay helped United Spirits reach the top of the global pyramid, but it came at a cost. Its debt has surpassed Rs 7,000 crore and the company is looking at monetising its non core assets to bring this down to manageable levels.


When the price is right, these assets could well include treasury stocks, a stake in United Breweries, and even a stake in its cricket franchise Royal Challengers Bangalore - all worth between Rs 1,500 and Rs 2,000 crore.


Ashok Capoor, President & MD, USL, said, "We have non core assets we can monetise anytime - treasury stocks, UBL stocks, Royal Challengers. But we will not do any selling at this stage. We will only sell when the price and timing are right to bring our debt down in the future.


That's not all. After touching 120 million cases in volume sales last fiscal, USL is now shifting focus to margins. So the sales target 200 million cases by FY 16 is taking a back seat. USL will drive brands that will contribute to revenues, even if they don't add to the volumes initially.


Ashok Capoor said, "We are chasing value, brands that are more premium and the trend is also towards premiumisation, so with that agenda I don't think we will do 200 million cases by FY 16. It will be less than that."


The company is also hoping that input costs will stabilise this year, making its job much easier.


In 2011, the prices of key input elements, extra neutral alcohol or ena and glass, rose significantly, forcing USL to opt for an aggressive, higher-than-usual, 3.5 per cent price hike. But USL says both ena prices and glass availability are improving this year and as they say - every drop counts.



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News Network
March 26,2020

New Delhi, Mar 26: As India continues its fight against coronavirus, the Board of Control for Cricket in India (BCCI) President Sourav Ganguly pledged to donate rice worth Rs 50 Lakhs to the needy people.
The Cricket Association of Bengal (CAB), in its statement, said Ganguly along with Lal Baba Rice will provide rice to people who have been put in government schools for safety and security.
"#Sourav to provide Free Rice to the Needy It is heartening to note that Sourav Ganguly along with Lal Baba Rice has come forward to provide free rice worth Rs 50 lacs to the needy people who have been put in government schools for safety and security. Hope this initiative of Ganguly would encourage other citizens of the state to take up similar initiatives to serve the people of our state. #CAB," CAB said in a statement.
CAB President Avishek Dalmiya has also lent support to the needy people as he donated Rs 5 lakhs to the Government's Emergency Relief Fund.
"CAB President donates 5 lakhs to the Government's Emergency Relief Fund to fight against #CoronaVirus/#Covid19," CAB said in a statement.
Prime Minister Narendra Modi on Tuesday announced a 21-day nation-wide lockdown to contain coronavirus.

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News Network
June 24,2020

New Delhi, Jun 24: Former England skipper Michael Vaughan has slammed UK Prime Minister Boris Johnson for not allowing recreational cricket to resume.

UK Prime Minister Boris Johnson had described the cricket ball as a 'natural vector of disease' and ruled out recreational cricket's return in the country.

Hearing Johnson's argument, Vaughan tweeted: "Hand sanitiser in every players pocket. Use every time you touch the ball ... SIMPLE ... Recreational Cricket should just play from July 4th ... utter nonsense it's not being allowed back ... #Cricket."

Johnson was responding to a question from Conservative MP Greg Clark in the House of Commons, and it was then that Johnson said that it is too soon to lift current restrictions to allow the return of recreational cricket.

"The problem with cricket as everybody understands is that the ball is a natural vector of disease, potentially at any rate. We've been around it many times with our scientific friends," ESPNCricinfo had quoted Johnson as saying.

"At the moment, we're still working on ways to make cricket more COVID-secure but we can't change the guidance yet," he added.

Johnson had announced various relaxations on Tuesday, but the return of recreational cricket was not a part of them.

However, this statement given by Johnson will have no impact on the Test series between England and West Indies, scheduled to begin from July 8.

However, the England and Wales Cricket Board (ECB) has said that it is looking to resume recreational cricket in the country around July 4.

The board has also said that cricket is a low-risk sport as it is a non-contact sport.

"We believe that cricket is a non-contact sport, with very low risks of exposure, and that it can be played as safely as many other activities being currently permitted," the ECB said in an official statement.

"It is our strong desire to work with Government to see the return of recreational cricket on or around 4th July, as they continue to lift other restrictions more broadly across society," it added.

All international cricket has also been suspended since March due to the coronavirus pandemic.

However, it is set to resume to from July 8 as England and West Indies will lock horns in the three-Test series.

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News Network
May 30,2020

New Delhi, May 30: Former world chess champion Viswanathan Anand will be finally reaching India late on Saturday after being stuck in Germany for over three months due to the travel restrictions imposed in the wake of the COVID-19 pandemic.

"Yes.. Anand will be returning today," the chess maestro's wife Aruna told PTI on Saturday morning. Anand, who boarded an Air India flight (AI-120) from Frankfurt on Friday night will reach Bengaluru via Delhi.

He is expected to reach Bengaluru at 1.15 pm. The five-time world champion will undergo 14 days quarantine as per rules laid down by the Karnataka government.

"He will complete quarantine procedures and come to Chennai as per protocol," Aruna Anand said. The flights from Germany are only scheduled to land only in Delhi and Bengaluru.

The chess ace was in Germany to play in the Bundesliga chess league and was to return to India, but was forced to stay put after the COVID-19 outbreak disrupted sporting schedules across the globe, apart from restricting movement.

He was staying near Frankfurt and was doing online commentary for the Candidates tournament which was called off mid-way due to the pandemic and led the Indian team in the Online Nations Cup early this month.

Anand had been in touch with his family in Chennai on a regular basis via video calls and kept himself busy with chess-related work.

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