Companies

United Spirits to sell Tern Distilleries for ₹30 crore

Our Bureau Bengaluru | Updated on October 15, 2020 Published on October 15, 2020

The purchaser, Sri Balaji Impex of Singapore, is not a promoter or part of the promoter group of USL

United Spirits Limited (USL), aiming to monetise its non-core assets, has entered into a definitive agreement for sale of its entire shareholding in its wholly-owned subsidiary, Tern Distilleries Private Limited, to Sri Balaji Impex (SNG) Pte. Ltd., Singapore. The sale is for a consideration of ₹30 crore.

“Upon completion of the sale, Tern Distilleries will cease to be a subsidiary of the Company,” the company said in a regulatory filing to exchanges.

The purchaser, Sri Balaji Impex (SNG) Pte Ltd, Singapore, is not a promoter or part of the promoter group of USL and is not a related party of USL and the sale does not constitute a related party transaction.

United Spirits posts Q1 net loss of ₹215 crore

Non-operative company

USL is expected to complete sale/disposal of Tern Distilleries within 30 days from October 14, the date of signing the agreement.

For the financial year ended March 2020, Tern Distilleries was a non-operative company and consequently did not have any turnover or operating revenue. It had an interest income of ₹0.67 lakh and a net worth of approximately ₹1,342 lakh representing 0.36 per cent of USL’s consolidated net-worth.

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Published on October 15, 2020
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