The Hindu Business Line : UB charts Rs 100-cr expansion plan

Announcing this at the company's annual general meeting here today, Mr Vijay Mallya, Chairman, UB, was upbeat about both the domestic and international markets in the coming years. "Orissa, Rajasthan and Uttar Pradesh are growing markets for us and we're looking at setting up breweries there," he said.

Mr Mallya said that the company's growth would be fuelled by increasing demand by the new, emerging generation, increased distribution and reduced taxation.

A close working relationship with Scottish & Newcastle would enable the Kingfisher brand to capture markets in other countries , he added.

Announcing an interim dividend of 15 per cent which was the first since 2001, Mr Mallya said UB had recorded a growth of 19 per cent in the first five months of this year (April-Aug'05) compared to the same period last year.

Mr Mallya said UB was not yet ready for an overseas listing right now, though McDowell's was ready for one, according to him.

Whether the company will choose to take the ADR, GDR, FCCB or the private equity route is still being considered, he said.

"Many people are interested in McDowell's, the emerging United Spirits and Kingfisher Airlines," he said indicating that the airline may opt for an IPO in three-to-six months.

Mr Mallya, who said he has for long been recommending differential taxation for the alcohol market in the country based on percentage of alcohol content, stressed the need for treating milder forms of beer and wine differently.

He was, however, optimistic that this liberalisation would happen soon.

In response to a question on UB group's expansion plans, he maintained that the company will stick to `core areas,' and the only addition to its portfolio has been aviation.

The company had reported a turnover of Rs 515.38 crore for the year ending March 31, 2005 with a PAT of Rs 14 crore.

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