The king of good times, Vijay Mallya, is not just bringing Formula One race to India but is also buying a F1 team.
Sources have told the TV18 Network that Mallya has closed in on Spyker-Ferrari and he would be investing in the team in his personal capacity. According to the sources the deal is worth 90mn euros and is almost final and will be announced shortly.
The Spyker-Ferrari board has given the green signal as Mallya's bid is at a reasonable premium.
However, as Mallya is investing in the Spyker team in his personal capacity, Kingfisher will continue to sponsor the Toyota Panasonic F1 team.
The TV 18 Network had first reported on Mallya's F1 bid earlier this week.
Speaking to the network during the Istanbul Grand Prix, Mallya said, "You can draw your own conclusions, but part and parcel of bringing Formula One to India is to also have an Indian company involved in Formula One. In what form or shape, I am not going to disclose just yet. I think it is premature. But we have drivers, we have Narain Karthikeyan, we have Karan Chandok and I hope there will be more as we go along. That is one part of the story. But to have a more significant involvement in a particular Formula One team, could well have a domino effect in regenerating interest in Formula One in our large country and culminating of course in actually hosting a race."
In September 2006, Spyker, which is one of the laggards on the F1 circuit, acquired the Midland F1 Team of UK.
Source: Yahoo Sports
Showing posts with label Kingfisher. Show all posts
Showing posts with label Kingfisher. Show all posts
Monday, September 3, 2007
Monday, July 23, 2007
UB planning to sell 20% stake in its aviation business
United Breweries (Holdings) is planning to sell about 20% stake in its consolidated aviation business—comprising Kingfisher Airlines and Air Deccan—to private equity investors. It hopes to raise around $250 million through the equity dilution. Four private equity giants, including Cerberus Capital, TPG and Blackstone, have initiated talks. Cerberus is believed to be the front-runner.
The stake, sources said, is being sold in a subsidiary of UB (Holdings), which owns 83% of Kingfisher Airlines and 100% of Kingfisher Radio. Kingfisher Radio, in turn, holds 26% in Deccan Aviation, the parent of the low-cost airline. The proposed open offer, if successful, will take Kingfisher Radio’s stake in Deccan Aviation to 46%.
The UB Group has already raised Rs 550 crore as debt from IDFC, HDFC and IL&FS for its purchase of Deccan Aviation. It is currently in the process of raising another Rs 430 crore to fund the open offer.
This will take its debt to around Rs 1,000 crore. Sources said the plan is to pay back the expensive debt through private equity funds. UB is waiting for Sebi’s clearance for the open offer at Rs 155 per share. Sources said the group is confident of getting participation from major shareholders, including ICICI Bank and Capital One.
The stake, sources said, is being sold in a subsidiary of UB (Holdings), which owns 83% of Kingfisher Airlines and 100% of Kingfisher Radio. Kingfisher Radio, in turn, holds 26% in Deccan Aviation, the parent of the low-cost airline. The proposed open offer, if successful, will take Kingfisher Radio’s stake in Deccan Aviation to 46%.
The UB Group has already raised Rs 550 crore as debt from IDFC, HDFC and IL&FS for its purchase of Deccan Aviation. It is currently in the process of raising another Rs 430 crore to fund the open offer.
This will take its debt to around Rs 1,000 crore. Sources said the plan is to pay back the expensive debt through private equity funds. UB is waiting for Sebi’s clearance for the open offer at Rs 155 per share. Sources said the group is confident of getting participation from major shareholders, including ICICI Bank and Capital One.
Sunday, June 17, 2007
Mallya approaches SpiceJet cautiously
Liquor baron Vijay Mallya’s thirst for low-cost airlines seems to have become insatiable. Kingfisher is now planning to spread its wings once again, by targeting SpiceJet.
After gulping down 26 per cent of the country’s largest low-cost airline, Air Deccan, the promoter of Kingfisher Airlines has dropped hints that he is interested in acquiring a stake even in Delhi-based budget carrier SpiceJet.SpiceJet is India's second largest low-cost airline with a market share of nine per cent. SpiceJet operates over 83 daily flights in 14 cities with 11 Boeing 737-800 aircraft.
The Indian aviation industry has already seen several mergers with Jet Airways taking over Air Sahara and the Indian Airlines being merged with Air-India. Mallya’s latest move is part of the consolidation taking place in the Indian skies.
(Source: CNN IBN)
(Contributor: Varun Gupta, Irevna Research Services)
After gulping down 26 per cent of the country’s largest low-cost airline, Air Deccan, the promoter of Kingfisher Airlines has dropped hints that he is interested in acquiring a stake even in Delhi-based budget carrier SpiceJet.SpiceJet is India's second largest low-cost airline with a market share of nine per cent. SpiceJet operates over 83 daily flights in 14 cities with 11 Boeing 737-800 aircraft.
The Indian aviation industry has already seen several mergers with Jet Airways taking over Air Sahara and the Indian Airlines being merged with Air-India. Mallya’s latest move is part of the consolidation taking place in the Indian skies.
(Source: CNN IBN)
(Contributor: Varun Gupta, Irevna Research Services)
Thursday, May 31, 2007
Kingfisher acquires 26% in Air Deccan
Update:United Breweries Holdings has picked up a 26 per cent stake and it would make an open offer to acquire a minimum of 20 per cent to all shareholders of Air Deccan at a price of Rs 155 in compliance with Sebi regulations next week UB Holdings has made an initial investment of Rs 150 crore in Deccan Aviation and a further investment of Rs 396 crore would be made by this month-end for 26 per cent stake.
With this acquisition, the Kingfisher-Air Deccan group will become the largest domestic airline with a fleet of 71 aircraft -- 41 Airbus and 30 ATR aircraft.
The combined entity will cover all segments of air travel from low to premium fares and offer maximum number of 537 daily flights covering the single largest network in India covering 69 cities, taking advantage unparalled synergy benefits from a common fleet of aircraft
(Source: ET)
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Vijay Mallya, the flamboyant and aggressive king of spirits, is believed to be buying Air Deccan, India’s leading low-cost airline, in a move that would make him the country’s biggest aviation player by marketshare. Air Deccan will retain its low-cost status while Kingfisher will run as a full-service airline. Captain GR Gopinath, CEO of Air Deccan, flatly denied any deal was in the offing with Kingfisher.
Markets have given a thums up for the deal. Deccan, operator of India's biggest low-fare airline, gained as much as 7.6 per cent and Mallya's United Breweries Holdings rose 8.5 per cent.
With this acquisition, the Kingfisher-Air Deccan group will become the largest domestic airline with a fleet of 71 aircraft -- 41 Airbus and 30 ATR aircraft.
The combined entity will cover all segments of air travel from low to premium fares and offer maximum number of 537 daily flights covering the single largest network in India covering 69 cities, taking advantage unparalled synergy benefits from a common fleet of aircraft
(Source: ET)
----
Vijay Mallya, the flamboyant and aggressive king of spirits, is believed to be buying Air Deccan, India’s leading low-cost airline, in a move that would make him the country’s biggest aviation player by marketshare. Air Deccan will retain its low-cost status while Kingfisher will run as a full-service airline. Captain GR Gopinath, CEO of Air Deccan, flatly denied any deal was in the offing with Kingfisher.
Markets have given a thums up for the deal. Deccan, operator of India's biggest low-fare airline, gained as much as 7.6 per cent and Mallya's United Breweries Holdings rose 8.5 per cent.
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