India: Shares of United Breweries Holdings to be suspended from trading for non-compliance with financial results and non-payment of fines

Shares of United Breweries Holdings Ltd (UBHL) will be suspended from trading with effect from Sept 8 in the National Stock Exchange (NSE) and the Bombay Stock Exchange (BSE) due to non-compliance with financial results and non-payment of fines for two consecutive quarters, the bourses said on August 17, Times of India reported.

Also, the entire promoter shareholding of the company has been frozen with immediate effect. The promoter and promoter group, led by former liquor baron Vijay Mallya, holds 52.34% of the company, as per the latest disclosures made by the company in December.

UBHL, which has ordered by the Karnataka High Court to be wound up, had failed to report its quarterly results for the three months ended December 31, 2016 and March 31, 2017, respectively. In case the company complies with the requirements before September 4, then the proposed trading suspension would not be imposed, BSE said.

The company had informed the BSE in June that information required to prepare the financial results is no longer with the company due to search and seizure conducted by the Central Bureau of Investigation (CBI), related to the probes on Mallya. Accordingly it requested market regulator SEBI to relax the strict enforcement of the regulations under the extraordinary circumstances.

The suspension would continue from September 8 till the firm complies with the requirements.

"Revocation of suspension would be subject to the companies further complying with the procedure and all extant norms prescribed for revocation of suspension," the notice said.

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