Russia, China may get taste of UB brands

Vijay Mallya-controlled UB group is planning to enter Chinese and Russian markets. The group, which controls 60 per cent of domestic liquor market, is likely to introduce all its products except vodka brands to these countries.

The group will market its partners' brands in India as well.

UB Group Chairman Vijay Mallya said: "China and Russia have huge market potential. Almost all our brands are ideally suited for these markets."

Mallya said there was a huge gap between local Chinese wines and imported liquor. UB Group can take advantage of this market potential, he said.

"Currently, we are in talks with two leading government companies in China, who are having license for distribution. The modalities is yet to be finalised," said Mallya.

Mallya said the company is also in talks with leading Russian entrepreneur groups to sell UB Group liquor brands in their market. In turn, UB will sell Russian products in Indian market. The group currently has presence in some parts of South East Asia, West Asia, Africa and UK.

Meanwhile, Vijay Mallya is in the final rounds of acquiring French champagne brand Taittinger with two other international players.

Sources closed to the development said the company has quoted little over Rs 3,000 crore and a final decision on the acquisition would be out in two weeks.

"Earlier, there were 40 players in the fray to takeover Taittinger. Later it was reduced to six and then to three. UB Group is one of the strongest bidder in the fray," they said.

They added that with this acquisition UB Group will become a world class company with access to international market for distribution chains and manufacturing capabilities.