USL Fully Acquires Four Seasons Wines

United Spirits Limited has acquired 49% stake in its JV - Four Seasons Wines. USL acquired the minority shares held by the Sharad Pawar family to make it a 100% subsidiary. Four Season Wines was formed as a 51:49 JV between the UB group and the farmers from the Baramati , led by the Pawar family, in 2007.

Through this JV, USL had forayed into the premium domestic wine segment. As per the JV, UB group had agreed to buy all the grapes produced by these farmers at a fixed price besides buying about 300 acres of land within that area.

However the Pawar family members had re-distributed their shares among the big grape farmers sometime ago, which has been taken over by the company now.

USL’s wine business in India operates through two companies - United Vintners Limited and Four Season’s Wines Limited.

UVL imports wines from all over the world to offer a portfolio of wines of different origin, varietals, styles and price points. The current portfolio comprises a selection of wines from New Zealand, Australia, Portugal, South Africa and France.

Four Seasons produces wines from grapes grown around Sahyadri valley in Maharashtra and at its own Four Seasons winery near Baramati, near Pune.
Four Seasons Wines markets its wines under the two brand names Zinzi and Four Seasons.The company currently has a capacity of 8 million bottles per annum.

USL's other 100% subsidiaries include Whyte & Mackay, Bouvet Ladubay and Royal Challengers Sports Private Limited. It enjoys a strong 59% market share for its first line brands in India.

USL sold 123.7 Mn cases for the fiscal ending March 31st, 2013.

The company has a sizeable presence in India with distilleries and sales offices all across the country, and a team of over 7500 people with an export destination of 37 countries.

Recently global spirits major Diageo had acquired a controlling stake in USL. With this Mallya with his promoter-led companies had 11.08 % of USL’s enlarged share capital and Diageo’s holding in USL went upto 25.02%.

Also, Morgan Stanley had bought 0.74% stake in USL through a bulk deal.