UB Group Chairman Vijay Mallya will most probably be re-elected chairman of United Breweries flagship United Spirits Limited (USL) after the results of voting at the annual general meeting (AGM) of the company held here on Tuesday are released on Thursday.
Industry watchers, however, said Mallya’s re-election is a foregone conclusion. According to sources, all resolutions, including reappointment of Mallya to the board, were passed at the AGM through electronic voting. USL will formally inform the regulatory authorities of the result only after counting the postal votes which will take place on Thursday. Diageo Plc currently holds a majority 54.78 per cent in USL.
As per the AGM, Deepak Gilbert Ghostine, a Diageo nominee on the USL board, has decided to step down.
Two weeks back, a proxy advisory firm Institutional Investor Advisory Services India Ltd (IiAS) had recommended that USL shareholders vote against resolutions seeking reappointment of Vijay Mallya as chairman.
The company has a portfolio spanning 140 brands. According to a media report, USL will go in for a strategy of focussing on 14 power brands. These will be rolled out at Diageo’s global executive committee meet expected to happen in India soon.
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