State Bank of India, which leads the consortium of lenders for Kingfisher Airlines, on Friday described the Vijay Mallya promoted UB Group's decision to sell majority stake to Diageo for over Rs 11,166 crore (Rs 111.66 billion) as a positive development.
The deal may provide Mallya a breather from troubles emanating from his grounded Kingfisher Airlines.
"This is obviously positive news for us. We do think money flowing into the hands of the main holding company and the promoter is a positive for the airline," SBI managing director, mid-corporates, S Vishwanathan told reporters while announcing the second quarter earnings of the bank in Mumbai.
"A meeting would be held between the lenders and the airline management after Diwali now that this deal is through," he said.
Earlier today (on Friday), the world's largest spirits maker Diageo said it has agreed to buy 53.4 per cent stake in United Spirits Group for Rs 11,166.5
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