Diageo takeover of whiskey firm in doubt

United Spirits, the Indian whiskey maker controlled by Vijay Mallya, saw share prices fall the most in eight months in Mumbai trading on speculation that discussions to sell a stake to Diageo could fall through.

United Spirits shares fell 9% to close at 1,095 rupees (€15.66), the biggest fall since Feb 22. The stock was the biggest loser on the 10-member BSE Fast-Moving Consumer Goods Index.

“I do not have to do a deal with Diageo at all. I am under no compulsion whatsoever,” Mr Mallya, the company’s chairman, was quoted as saying in a report over the weekend.