United Spirits slumps after court annuls Diageo deal

United Breweries Holdings initially fell as much 9.1 percent, but was down 3.6 percent at 9.31 am, compared with a 0.4 percent gain in the broader Nifty.

Reuters| Last Updated: Dec 23, 2013, 11:44 AM IST

Mumbai: Shares in United Spirits Ltd fell as much as 6 percent on Monday after a court ordered the annulment of the sale of the Indian spirits maker to British group Diageo.

Karnataka High Court ordered the cancellation of the sale on Friday in response to a petition by creditors of United Breweries Holdings Ltd , which sold its stake in United Spirits to the British firm through a complicated share transaction.

United Breweries Holdings initially fell as much 9.1 percent, but was down 3.6 percent at 9.31 am, compared with a 0.4 percent gain in the broader Nifty.

United Spirits shares were down 1.2 percent at 9.32 am.