UB Group Chairman Vijay Mallya on Thursday said that the group is in full control of Mangalore Chemicals & Fertilisers (MCF).
Speaking on the sidelines of UB Holdings’ Annual General Meeting, he said he was aware of Zuari Chemicals and Deepak Fertilisers increasing their stakes in MCF. But there has been no talk with any investor for the acquisition of MCF, said Mallya.
Legal Battles
Earlier, he told shareholders that five cases have been filed against UBHL, and that the company has launched counter claims in three and is exploring an out-of-court settlement in two.
Responding to a shareholder’s query about a lender making a claim against the company, Mallya said the claims had been initiated in duress. “Regarding the claims, we need to wait for the judgment. I cannot predict the outcome of these cases,” he said to reporters after the AGM. On the revival of Kingfisher Airlines, without naming any investors or companies, Mallya said: “We are in talks with potential investors. It will take some time to convince investors to invest and then revive the company.”
Challenges in Tamil Nadu
Despite a decline in beer sales in Tamil Nadu, Mallya said United Breweries has maintained its overall national market share of about 50 per cent.
“It would have been much higher had the company’s share in Tamil Nadu been a true reflection of demand for its products,” Mallya told shareholders at the AGM.
While addressing the media, he said the situation in Tamil Nadu has not changed for the company.
“We have dropped our market share due to the unfavourable ordering pattern of (state-owned marketing corporation) TASMAC,” he said.
He hoped the State Government would give the company a fair share of orders, saying its brands are very popular among consumers in Tamil Nadu.
“Also, we are a local beer producer within the State. We provide the same revenue benefit to the State and the employment benefit as well.”
Sharing the company’s outlook for FY14, Mallya said that in spite of a long monsoon, demand for beer will not dampen. “But we have been consciously following a strategy of evening out weather-related peaks and slumps so that the demand for beer remains strong.”
anil.u@thehindu.co.in