 "UB shares nosedive as Mallya remains doubtful about Diageo deal")
Shares of United Spirits extended the decline and fell about 13 percent after Chairman Vijay Mallya said he is not sure that a deal with UK drinks giant Diageo to sell the liquor company’s shares will take place.
“Whenever we need to say something we will, we keep discussing but we don’t know whether a deal will happen or not,” Mallya was quoted as saying in a Reuters report.
Mallya also ruled out selling prized assets to rescue his grounded Kingfisher Airlines and said he need not commit to a deal with Diageo to rescue his grounded airline.
[caption id=“attachment_506670” align=“alignleft” width=“380”]  Can Mallya save the airline? AFP[/caption]
The statement comes even as the Securities and Exchange Board of India is investigating possible insider trading in United Spirits shares.
The stock had moved wildly to unconfirmed media reports that Mallya may sell a stake in United Spirits to raise funds.
It was on 25 September that both the companies in a joint statement to the exchanges confirmed they were in discussion for a possible deal.
“United Spirits Limited and Diageo plc confirm that Diageo plc is in discussion with United Spirits Limited and United Breweries (Holdings) Limited in respect of possible transactions for Diageo plc to acquire an interest in United Spirits Limited. However, there is no certainty that these discussions will lead to a transaction,” said the statement to the exchanges on 25 September.
On 10 October, Business Line reported that Sebi was investigating whether there has been any insider trading in United Spirits shares. Towards this end, the markets regulator has asked the companies to provide a “chronology of events relating to the reported stake sale to Diageo”.
Shares of United Breweries Holdings declined 10 percent to Rs 118 today.
 "Israel targets top Hamas leaders in Doha; Qatar, Iran condemn strike as violation of sovereignty")
 "Nepal: Oli to continue until new PM is sworn in, nation on edge as all branches of govt torched")
 "Who is CP Radhakrishnan, India's next vice-president?")
 "Israel informed US ahead of strikes on Hamas leaders in Doha, says White House")
 "Israel targets top Hamas leaders in Doha; Qatar, Iran condemn strike as violation of sovereignty")
 "Nepal: Oli to continue until new PM is sworn in, nation on edge as all branches of govt torched")
 "Who is CP Radhakrishnan, India's next vice-president?")
 "Israel informed US ahead of strikes on Hamas leaders in Doha, says White House")
](https://images.firstpost.com/wp-content/uploads/2012/10/vijaymallyanew_afp4.jpg){kind=link}