Mumbai: The board of United Breweries Ltd (UBL) today (Dec 19, 2004) approved a transaction with Scottish and New Castles Plc (S&N), under which the latter will receive 17.5 per cent of UBL's equity by way of preferential allotment for Rs 217 crore or Rs 575 per share.

S&N will make a public offer to acquire upto 20 per cent of UBL shares at Rs 575 per share and further invest a sum of Rs 247 crore by way of redeemable preference shares with a coupon rate of three per cent, UBL chairman Vijay Mallya told reporters in Mumbai today.